April 2014
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2014 Better Manufacturing BOGE Compressors return to EMEX BOGE Compressors Australia and New Zealand is a wholly owned subsidiary of the BOGE German parent company that has been in operation for over 105 years. The local subsidiary is the sole importer and wholesaler of the German engineered BOGE products for Australia, New Zealand, PNG and Fiji. The BOGE compressors, dryers, filters, spare parts and ancillary equipment are sold through a very strong distributor network covering all areas. In fact intense regular training is provided and the product can only be sold by a business that has the technical expertise to support and service the product. In New Zealand Mr. Merv Potter at Air Gas Compressor Specialists has had a long established relationship representing the BOGE brand with an association going back 10 years. Partnering with BOGE he can provide
engineered products catering specifically for industry where plant is needed for unique applications including skid mounted packages, marine class paint for external use, higher IP ratings for electrical cabinets, air intake and outlets or even high temp applications. Machine packages can also come fully self contained in complete containerised solutions. While larger machines are usually required for such applications BOGE also engineer first class smaller machines for workshop or instrument air including the direct drive complete CL Air Centre and the high demand Oil Free K series piston compressors.
New products for EMEX New products to be released in New Zealand at EMEX for BOGE include the nitrogen generation system. This new PSA ‘pressure swing adsorption’ system is a flexible modular system that is actually expandable by adding one or two banks to the master generator. Varying degrees of purity are available depending on the application and the
nitrogen generator can be sized with a new compressor or can attach to an existing compressor. Only the master bank has to be plugged in to a 240V system and The main BOGE manufacturing plant located in Germany. there is a very wide application for many Working machines at EMEX industries including; Laser cutting, oil BOGE will also have a range of and gas, food storage and processing, compressors on display some of which pharmaceutical production and even will be connected and ready to use for air for tyres especially in aviation. demonstration. You can hear them The new BOGE nitrogen generator (maybe as some are whisper quiet) is a simple low maintenance system and see their operation. BOGE will based on an adsorption principle also have machines partly dismantled where oxygen molecules adhere to the with panels removed so prospective activated carbon. Once the first tank is clients can see and handle the quality saturated the second tank is filled and apparent in a first class German the first tank will re-generate. engineered product. Accurate monitoring is available to measure flow and purity. This new system does away with the need for cylinder bundles and their storage, large tanks and the vagaries of being dependant on deliveries. The purity and integrity of the product is measured on site!
Visit BOGE at EMEX Stand No 3064 or contact Mr. Merv Potter at Air Gas Compressor Specialists 027 488 117
The BOGE brand: First-Class-Engineering made in Germany.
Direct drive Air Centre up to 20hp and 79cfm Oil Free piston and screw compressors
Nitrogen Generators with selective purity and flow
Five speed or frequency controlled, belt drive and direct drive compressors from 4hp, 15cfm to 480hp, 150 cmfl
High Pressure Boosters up to 40barg
See us ton Stand 3064
Discover the BOGE edge:
www.boge.co.nz
Contact Air Gas Compressor Specialists Mr Merv Potter Ph 027 488 1117
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NZ Manufacturer April 2014
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NZ Manufacturer April 2014
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CONTENTS DEPARTMENTS 5 DEVELOPMENTS 6 DEVELOPMENTS 7-26 EMEX 2014
ADVISORS
9
Larry Wiechern
Safe, reliable, efficient, productive, green.
Is the Manager of the Maintenance and Reliability Centre, Manukau Institute of Technology.
Young inventors develop tomorrow’s technology today. First recycled PET packaging plant.
7 Innovate the key. 8 Delcam brings new Vortex range to EMEX 2014. 9 Brilliant portable 3D scanners. 10 The ultimate in anti-slip and way finding systems. 12 LA37 built to last. 13 What has a yacht builder, a sandblaster...? 15 Auckland Bearing Distributors at EMEX 2014. 16 Floor Plan 17 Exhibitor List 18 New 3XG –an EMEX show stopper! 19 Industrial Air Systems at EMEX 2014. 20 Largest manufacturer of sprockets and chain at EMEX. Business software on Nimbus stand. 22 Does your CNC Machining Centre need a Robot? 23 One stop hose reel shop on Stand 3012. 24 EPLAN Software and Service. 25 Safe Air- One stop electroplating and engineering services. 26 Mitsubishi advanced laser technology at EMEX 2014.
Craig Carlyle
Is Director of Maintenance Transformations Ltd, an executive member of the Maintenance Engineering Societyand the Event Director of the NationalMaintenance Engineering Conference.
Catherine Beard
Is Executive Director of Export NZ and Manufacturing, divisions of Business NZ, NewZealand’s largest business advocacy group, representing businesses of all sizes.
15 22
27 MANUFACTURING TECHNOLOGY
Optimising Feed Systems for Injection Moulding. PharmaSuite brings production.
28 MANUFACTURING TECHNOLOGY 29 ANALYSIS 30 ENERGY REPORT 32 OPINION 34 PRODUCT NEWS
Lewis Woodward
PowerSHAPE Pro gives faster, easier re-engineering from scanned data. Why companies need to consider raising capital in Australia.
25
Kiwi company selected for ‘Dragon’ Den’ style pitch. Online tool compares energy efficiency of dairy sheds. Manufacturing report good but should go further.
Is managing director of Connection Technologies Ltd, Wellington and is passionate about industry supporting NZ based companies, which in turn builds local expertise and knowledge, and provides education and employment for future generations.
Professor John Raine
Is Head of the School of Engineering and Pro Vice Chancellor – Innovation andEnterprise at the Auckland University of Technology.
Anchors aweigh. Building on nine decades of innovation.
36 PRODUCT NEWS 37 PRODUCT NEWS 38 OPINION 39 REAR VIEW
Brian Willoughby
Is president of the NZ Manufacturers and Exporters Association and managing director of Contex Engineers and Plinius Audio.
New DIY windscreen stone chip repair. Temperature calibrators highly accurate.
Bruce Goldsworthy
The future of 3D printing services and manufacturing Way forward for manufacturing never clearer. Being Competitive and Trusted.
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An advocate for NZ manufacturing for 40 years, he was Chief Executive of the Auckland Manufacturers Association for seven years He has been Manager of EMA’s Advocacy and Manufacturing Services, and lately manager for Export New Zealand in the north.
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NZ Manufacturer April 2014
EDITORIAL PUBLISHER Media Hawke’s Bay Ltd,1/121 Russell Street North, Hastings, New Zealand 4122.
MANAGING EDITOR Doug Green T: +64 6 870 9029 E: publisher@xtra.co.nz
CONTRIBUTORS Holly Green, Graeme Stillwell, Dr.Wolfgang Scholz, Bruce Goldsworthy, Angela Traill, John Walley.
ADVERTISING Doug Green T: + 64 6 870 9029 E: publisher@xtra.co.nz
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Vol.5 No. 3 April 2014 Copyright: NZ Manufacturer is copyright and may not be reproduced in whole or in part without the written permission of the publisher. Neither editorial opinions expressed, nor facts stated in the advertisements, are necessarily agreed to by the editor or publisher of NZ Manufacturer and, whilst all efforts are made to ensure accuracy, no responsibility will be taken by the publishers for inaccurate information, or for any consequences of reliance on this information. NZ Manufacturer welcomes your contributions which may not necessarily be used because of the philosophy of the publication.
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Work spares us from three evils: boredom, vice, and need. – Voltaire
Competitiveness will Drive Manufacturing Plenty is being said about manufacturing in New Zealand currently, the state of the economy and real hope for a prosperous future. The Castalia Report gave us some insight
as to where manufacturing is going, while Rod Oram in the Sunday Star Times talks about our weak international connections and underinvestment in innovation threatening the health of NZ manufacturing.
We have the expertise, the technology which is badly needed in countries like Indonesia. We need to face it; our manufacturing sector is diverse, not reliant on one sector to provide the innovation and return, although it must be said the food industry is a key player right now.
As it is we are bit players who make great products; not high enough in volume because of Asian competition – enough for us to stamp our mark with authority in the world. It is still the case that the great products made in our machine shops don’t get the recognition they deserve. A little love and kindness from Callaghan Innovation and ManufacturingNZ would go a long way. The thing is that if you extract the contribution food manufacturing provides to the economy we’d have a few problems! In this issue of NZ Manufacturer we include an EMEX 2014 Preview. Great to have this bi-yearly major trade fair on again as it provides the best of manufacturing technology and equipment for our industries. And of course there is an outstanding series of seminars where valuable insights can be gained from experts from our business organisations and companies to help you get ahead. May issue will also look at EMEX 2014 –before the event.
We have the innovators who innovate real well. We have the developers who develop real well. But what they innovate and develop face real challenges competing on world markets. For one thing, volumes aren’t high enough. Another, price competitiveness. We have the expertise, the technology which is badly needed in countries like Indonesia. They don’t need our food because they have plenty of water but they need the expertise to help with installation of equipment and efficiency of product operation to develop their own stronger economy.
Doug Green
NZ Manufacturer April 2014
To accomplish great things we must not only act, but also dream, not only plan, but also believe. -Anatole France
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DEVELOPMENTS
Safe, reliable, efficient, productive, green Schneider Electric strives to provide integrated energy solutions which embody these qualities. As global specialists in energy management, helping people make the most of their energy while using less of our planet’s resources is the ethos of Schneider Electric. With operations in more than 100 countries and over 140,000 employees world-wide, they are certainly well-positioned to make this vision a reality. Schneider Electric manages electricity from the moment it leaves the power station right through to when it reaches the power point. Their product range is “very diverse” according to Product Manager Adrian Duque, “From low to medium voltage electrical distribution products, automation systems for different industrial, commercial and residential applications, to professional services that deliver total solutions to specific customer needs. Not to mention we have the technical support and expertise to back them up.” Why focus on green and sustainable energy? Holding strong with their
Commercial & industrial growth
company ethos, Schneider Electric firmly believes that renewable energy will play a vital role in future, “We have been in the renewable market for a number of years now particularly in solar applications. We are also addressing the electric vehicle charging market…We aim to be ahead of the game, always looking forward to what’s coming and being ready when it does” Adrian explains. But it’s not just about the future economy or increasing the bottom line for Schneider Electric, it’s about corporate social responsibility too, as Adrian points out “When we talk about the energy efficiency, one of Schneider Electric’s commitments would not just be to the stakeholders, but also to the planet and the environment. Being a global leader in energy management, we are very much committed in doing our part to improve our environment not only for us but for the future generations.” In addition to taking their environmental corporate social responsibility seriously, Schneider
Electric are striving to ensure their customers are aware of the increasing power factor charges that Vector is implementing on April 1 this year. Power factor is a measure of a site’s electrical efficiency, and the charges were created as a disincentive to sites operating with a power factor below the required threshold of 0.95. The increase in charges from $2.20 to $9.70 per unit (kvar) per month will have a significant effect on many businesses. A company paying around $200 per month will end up paying over $800 starting April, which will be an unwelcome surprise for those unaware of this hike – “businesses should inquire with their utility providers if they were not informed or have no knowledge about it” Adrian advises. As part of Schneider Electric’s effort to help their customers deal with the increase in charges, they are offering a solution to improve customers’ power factor to the required threshold (thus minimising the charges) - Power Factor Correction Units, which Adrian describes as “one of the simplest
Employment growth
and more effective energy efficiency initiatives a site can utilise”. On Tuesday 18th March at their GETBA Business Showcase, Adrian explained power factor correction and the new charges, using a simple but extremely effective and appealing ‘beer vs froth’ ratio analogy, to a captive gathering of GETBA members. The members also enjoyed the opportunity to tour Schneider Electric’s world-class Head Office in Highbrook, and see for themselves just how serious the global giant is about effective energy management. From daylight harvesting lighting control systems, to visual displays of power monitoring, and even the architectural design of the building from the ground up, Schneider Electric’s state-of-the-art NZ Head Office showcases their best and most innovative energy-saving products and systems. This building is a physical embodiment of Schneider Electric’s ethos and vision of safe, reliable, efficient, and productive energy.
Economic output
Crime rate East Tamaki is the largest industrial precinct in Auckland with 2000 businesses and a growth rate higher than the regional average. getba.org.nz
getba Greater East Tamaki Business Association Inc.
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NZ Manufacturer April 2014
If you can’t excell with talent, triumph with effort.
DEVELOPMENTS
-Dave Weinbaum
Young inventors to develop tomorrow’s technology today
First recycled PET packaging plant Flight Plastics’ new plastic packaging plant is the first plastic packaging plant in New Zealand to manufacture food grade PET packaging from recycled PET (RPET) flake. The business, which was established in Wellington over a hundred years ago, has been producing food grade RPET plastic in the UK for five years and is now introducing that technology to NZ at its recently redeveloped site in Lower Hutt. Research shows that 87% of New Zealanders want their packaging to be recyclable and to contain where possible recycled materials. That is also the company’s experience in the UK too where the majority of what is produced at their plant in Hampshire, England now uses recycled PET flakes.
The Lower Hutt will produce food packaging made from recycled PET and supports New Zealand’s domestic and export economy enabling food producers to buy, for the first time, packaging made locally from imported recycled PET flakes. Being able to manufacture RPET plastic products right here at the exact size and volume required means quick response and efficiency to changing customer demands. The next step to be considered is expanding the plant further to produce the RPET flakes from PET drinks containers and food packaging collected at kerbside here in New Zealand.The company is currently looking at the economics of installing a Wash plant to do this. New Zealanders currently consume around 17,000 tonnes of PET plastics each year with much of it used to make food and beverage packaging.
The prestigious, annual James Dyson Award is now calling for entries in product design and engineering for the 2014 competition. First run in New Zealand in 2001, the global competition is searching for new and better ways to solve problems. In recent years the competition has discovered and supported inventors with ideas such as an upper-body robotic arm and a more efficient device to capture wave power. With a prize fund of almost NZD $200,000, the world’s brightest young engineers are challenged to design something that solves a problem. Students and recent graduates have until August 7th to enter. Students from 18 countries around the world will compete for a prize of NZD$60,000 and a further NZD$20,000 for their university. Last year’s international winners, the Titan Arm team, have used the prize money to patent and prototype their idea. Their battery powered upper-body
robotic arm augments arm strength, to rehabilitate people with back injuries, rebuild muscle and relearn motor control. New Zealand designer Jake Evill, was named the 2013 international runner up for his new 3D printed cast system for fractured and broken bones. Developed as a solution to traditional casts which aren’t waterproof; and are heavy, clumsy, itchy and smelly, and unable to be recycled, the Nelson industrial designer created a recyclable lightweight, ergonomic, waterproof and ventilated cast. After 3D scanning the limb, a tight fitting cast is generated, with localised support around the point of fracture. Jake received over NZD$25,000 from the James Dyson Foundation to invest in the development of the concept. Like Jake, the 2014 national winner will win NZD$4000, a Dyson vacuum, be supported by The Designers Institute, and receive a fee package tailored to their individual needs from the Intellectual Property Office of NZ.
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EMEX 2014 PREVIEW
Innovate the key for EMEX 2014 Walking the show boulevard you’ll struggle to miss the spectacular New Zealand designed and built Composite Helicopter centrepiece, a feat of engineering with export orders from a number of military agencies in the Northern hemisphere. The by-line for EMEX 2014 is much more than an idle boast.
There are three full days of seminars dedicated to innovation and collaboration. There are three full days of seminars dedicated to innovation and collaboration with support from industry heavyweights including NZTE, the EPMU, IEDA and NZMEA. Visitors have chances to win great prizes including a ride in that marvellous Composite Helicopter , a Ford Transit Custom SWB valued at $51,000, as well as take part in 2degrees promotions and the fun viral online game that’s already running at www.emex.co.nz/ game.php. It’s a biennial highlight of every serious engineering, manufacturing,
machinery, electronics and technology professional. It’s EMEX, and it attracts not only thousands of visitors, but hundreds of the most significant industry suppliers and specialists from all over the world. The last EMEX was the first for BOGE Compressors, and it certainly wasn’t the last with the company being keen to be back in 2014. “Visitors will see a range of quality German engineered products suitable for many applications in the NZ market,” says Jim Rohner. “This year, as well as the core range of compressor products, we are excited to release several new products, some of which are in high demand by industry in New Zealand. “These include the new BOGE nitrogen generation system. The new ‘PSA’ system is a very efficient one that does not require the added expense of an adsorption dryer in the system process. Unlike most other products in the market, the new system allows you to add on to increase capacity. The unique BOGE nitrogen sizing tool allows the consultant and the customer to maximise efficiency in selecting both the nitrogen generator and the air compressor. The nitrogen generator also works with other brands of compressors and can be added to an existing plant. “The BOGE nitrogen generators can produce different levels of purity depending on customer needs. The nitrogen generator applies to industries including oil and gas, food storage and production, air for tyres – especially in aviation, laser cutting, pharmaceuticals, automotive production, and is especially applicable
for environments that need to prevent fire or explosion in storage or production.” Innovation can be digital as well as physical, as Kiwi company Nimbus Software proves with its business management software. “Established in 1975, Nimbus Software has developed a comprehensive suite of business Management software, providing solutions from the top of your business, right to the bottom line,” says Sharon Smith. “One customer is Hamilton’s CF Reese. Their managing director told us: ‘Strong workflow tools fit in with how our business operates, and its configurability means we can customise it to our particular requirements. It is integral in logging, job costing and quoting small to significantly large contracts.’ “Our stand at EMEX will feature rolling PowerPoint presentations of our latest version of Nimbus which includes features such as project and job management, asset management and inventory control, financial management, CRM and mobile manager. “Come and discuss your business requirements with our experienced staff. One of the things that everyone’s talking about – and that has even had news coverage – is 3D printing. New Zealand owned Tasman Machinery will be demonstrating its latest range of this high-tech. “Established over 50 years ago, we’re now a leading supplier of Stratasys 3D printers for the medical, dental, education and manufacturing
industries in New Zealand and Australia,” notes Dermid McKinley.
Manufacturing has been expanding in New Zealand over the last three years. “Manufacturing has been expanding in New Zealand over the last three years and this is great news for our local economy. We’ve many clients in New Zealand who are using 3D printers including leading manufacturing companies and major universities and polytechs. Many small and large businesses are discovering 3D printing solutions to suit their prototyping and product design requirements. This is the only 3D printer that allows colour 3D printing with many combinations of rigid, flexible transparent materials as well as digital materials – in a single print run. “This allows the 3D printing of prototypes and parts with the colour, durability and surface finish of an assembled part, without assembly or painting. It helps manufacturers confirm designs and make good decisions earlier, so products can get out of the door faster – saving both time and money.” continued on page 12
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EMEX 2014 PREVIEW Delcam brings new Vortex range to EMEX 2014 Following the introduction of the Vortex high-efficiency area-clearance strategy in PowerMILL 2014 last September, Delcam’s new roughing strategy has now been added to the FeatureCAM, PartMaker and Delcam for SolidWorks CAM systems. Delcam will be appearing on Stand 3075 at EMEX 2014 with its new Vortex range. A video showing the benefits of using Vortex in FeatureCAM to program a HAAS machine can be seen at www. delcam.tv/vortexhaas Vortex gives the fastest safe metal removal from solid carbide tooling, in particular designs that give deeper cuts by using the full flute length as the cutting surface. It can be used for two- and three-axis roughing, three-plus-two-axis area clearance and for rest machining. It gives benefits when machining all types of materials, including titanium, tool steel and alloys such as Inconel. Vortex produces toolpaths with a controlled engagement angle and so maintains the optimum cutting conditions for the toolpath that would normally be possible only for the straight-line moves. As a result, higher feed rates are possible so the cutting time will be shorter, while cutting will be undertaken at a more consistent volume-removal rate and at a constant feedrate, so protecting the machine.
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The constant feedrate achieved with Vortex is a fundamental difference from other high-speed roughing techniques. Trials at Delcam have shown that this approach is more reliable as it can often be difficult to predict exactly how machine tools will react to changing feedrates. Vortex also uses a minimum radius parameter, calculated to make sure that the machine tool can keep up the cutting feedrate in corners and, more generally, for any non-straight part of the toolpath. This makes the cutting process more predictable since the machine should run at the programmed feedrate throughout and not slow down in the way that it could on other kinds of area-clearance toolpath. The control of the engagement angle that is possible with the Vortex strategy also makes the performance of the tool more predictable because it is operating closer to the optimum cutting conditions associated with a straight-line cut. This means that it is easier to adjust the feeds and speeds being used to machine a particular part such that a tool can be relied on to cut, for example, ten components before it needs to be changed. A tool change can then be added into the program where appropriate so that lights-out machining can be undertaken safely and consistently on a long series of parts, either overnight or across a
weekend. The extent to which time can be saved with Vortex will vary depending on a number of factors, including the material and shape being cut, and the machine tool and cutting tools being used. A series of trials run by Delcam on different machine tools within its Advanced Manufacturing Facility has shown that a time saving of at least 40% is quite achievable, with the biggest percentage savings being found when cutting a sample part in tool steel. The cycle time for the part was reduced from 121 minutes to 34 minutes, a reduction of 71%.
Other examples included a reduction of 67% when cutting a number of pockets in a stainless steel part, a 63% time saving on a titanium part and a 58% saving when cutting an aluminium component. The exact effect on tool life from using the Vortex strategy also varies from project to project. In one example, where 2,000 stainless steel components were being produced monthly, the number of tools being used was reduced from 300 to 100 each month. The replacement tools were more expensive but the overall costs were still reduced by around 50%.
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EMEX 2014 PREVIEW Brilliant portable 3D scanners Professional CAD Systems Ltd, appearing on Stand 2004, will be demonstrating two of Creaform’s Portable 3D Scanners? at EMEX: the VIUscan and the Go!SCAN.
emergence of laser trackers shortly after—turned conventional industry inspection methods completely upside down. It also made it possible to take measurements more quickly and more often, fostering huge improvements in response time and quality.
Handyscan 3D scanners stand out as the most accurate portable 3D scanners on the market today. Because we know that you are serious about your work, we have developed an extensive line of? handheld 3D scanners that will work wherever you need them to.
Far from the comfort of metrology labs where qualified inspectors operate digital CMM with their heavy, stable granite table, portable measurement is still facing several major challenges. In production environments, permanent vibrations generated by production equipment (ex.: machining centres, presses, carriage equipment, cranes), requirement for rigid equipment set-ups, changes in temperature and humidity levels, and operators’ varying experience and skills levels, are the daily obstacles faced by portable measurement solutions users.
Our scanners feature TRUaccuracy technology, that guarantees accuracy no matter the environment, part set-up or the user’s level of experience. Thousands of units later, our 3D laser scanners are living up to their reputation of reliability and versatility. Over the past 30 years, one of the most important changes in metrology has been the development of portable measuring devices. This has brought inspection right into the production line, as close to the part as possible. The change—sparked by the development of portable measuring arms in the early 1990s and the
Optical solutions from Creaform introduce innovative concepts like self-positioning or dynamic referencing, which enables the measuring device to be continuously locked to the part by an optical link. TRUaccuracy is part of Creaform’s technological fundamentals that make
for more accurate systems in 3D optical metrology. The Go!SCAN 3D offers our easiest portable 3D scanning experience, providing truly fast and reliable measurements.
data post-processing. All of this results in the shortest 3D scanning experience available on the market, from start to finish.
You need simplified, quick, affordable and reliable 3D scanning? Go!SCAN 3D scanner was designed with you in mind. This very efficient system can be used by anyone, without requiring any prior experience, and provides visual guidance as you are scanning through real-time visualisation and ongoing positioning assistance. Its innovative LED technology bypasses preparation steps and specific set-ups, provides a large scanning area as well as a very fast measurement rate, and does not require manual
www.procadsys.co.nz sales@procadsys.co.nz +64 7 848 2005
Geomagic Design X ®
Creaforms Handyscan 3D scanners stand out as the most accurate portable 3D scanners on the market today. BENEFITS TRUportabilityTM ● Portable: fits into a case the size of a carry-on. ● Handheld and lightweight: the scanner weights about 1 kg. ● On-the-go scanning: take it from plant to plant and use it in-house or on site. ● Small size: easy access to confined areas. TRUaccuracyTM ● High accuracy: generates accurate, repeatable, high resolution 3D data (0.040-0.050 mm) ● Dynamic referencing: optical reflectors are used to create a reference system that’s “locked” to the part itself. ● Reliable: consistent results across all work conditions or environments. ● On-demand user calibration: the scanner can be calibrated as often as necessary. Calibration takes about 2 minutes and guarantees optimal operation. TRUsimplicityTM ● User-friendly: very short learning curve, no matter the user’s experience level. Up and running in less than 2 minutes. ● Direct Mesh Output: real-time visualization of the scanned surface.
™
Geomagic Design X (formerly Rapidform XOR), is the industry's most comprehensive reverse engineering software, combines history-based CAD with 3D scan data processing so you can create feature-based, editable solid models compatible with your existing CAD software.
KeyCreator is the leading pioneer in 3D geometry-based engineering software. KeyCreator combines the power of direct modeling with solids, surfacing, drafting and layout capabilities with breakthrough data exchange and model editing technologies. KeyCreator offers high-end capabilities without the big price-tag.
SketchUp PRO - 3D modeling software for professionals. SketchUp is easy and intuitive, allowing anyone to model in 3D quickly and accurately.
SketchUp users in all fields depend on V-Ray as a quick, easy and costefficient way to render their most cutting-edge images. V-Ray for SketchUp works with SketchUp, Rhino, 3ds Max and Maya KeyShot is an entirely CPU based standalone 3D rendering and animation system for 3D data. It has been designed to take the complexity out of rendering realistic images.
See us at stand 2004
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NZ Manufacturer April 2014
EMEX 2014 PREVIEW The ultimate in anti-slip and way finding systems Safety Step, who is appearing on Stand 2072, was founded in Auckland, New Zealand in 1993. When you need highly effective and durable solutions to anti-slip and way-guidance issues, you will locate within our company a full range of innovative and highly effective solutions enabling safe pedestrian movement within buildings, structures and moving vehicles.
The hands-on, practical orientation and service focus within Safety Step has been deliberately nurtured by Mr. Dean Cockerton to become a company culture that drives success for both the company and its clients. We look forward to working with you. Safety Step New Zealand.
Safety Step New Zealand is recognised across the globe as the leading expert in the provision of integrated pedestrian safety systems that combine the very latest innovations in anti-slip technology and glow in the dark capability. Put simply, we have the knowledge and the products to assist you implement end to end pedestrian safety systems that will minimise slip and fall accidents while also facilitating the fast and orderly evacuation of pedestrians during lights out and emergency conditions. Our promise is that every Safety Step client receives a fail-safe underfoot safety and emergency egress system that performs how it’s expected to, when it’s expected to. You have the assurance of complete support as we manage the entire process all the way from the research and development of our products, quality controlled in-house manufacture, to dedicated on-site representation. Growing from a one man operation, regular company operations now span across more than seven countries.
THE ULTIMATE IN ANTISLIP AND WAY FINDING SYSTEMS
Safety Step New Zealand is recognized across the globe as the leading expert in the provision of integrated pedestrian safety systems that combine the very latest innovations in anti-slip technology and glow in the dark capability. Put simply, we have the knowledge and the products to assist you to implement end to end pedestrian safety systems that will minimise slip & fall accidents while also facilitating the fast, orderly evacuation of pedestrians during lights out and emergency conditions.
See us at Stand Number 2072
or 19B Neil Park Drive, East Tamaki Phone: 09 271 4355 or 09 274 4788
www.safetystep.co.nz www.nzmanufacturer.co.nz
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EMEX 2014 PREVIEW
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NZ Manufacturer April 2014
EMEX 2014 PREVIEW continued from page 7 Jenlogix is a supplier of industrial computing systems and, says Bill Hollins, are able to help customers with choices for their industrial computer needs. “With our vast experience, we can often help them save both time and money on obtaining the correct solution for their projects. EMEX provides a simple environment for them to discuss their issues and obtain advice quickly.” One example of the valued assistance Jenlogix gives its customers is Autogrow. “We make the most advanced greenhouse controllers in New Zealand. And next year we expect the product to quadruple in sales,” says Kevin Blackmore, Research and Design Manager at Autogrow Systems based in North Harbour, Auckland. “Twenty years ago the company’s founder, Jeff Broad, was creating small on-demand dosing systems and automated climate controllers for hobbyists and small commercial growers. The company now comprises an international team of dedicated engineers and horticulturists who make innovative professional glasshouse control systems for growers of any size, anywhere in the world. “Autogrow needed a business partner who could match our customerfocussed, specialist approach. We had to source a touchscreen computer to provide the user interface for our control equipment. We also needed a supplier that could be flexible and
responsive to our customer needs. As a small company with a high-value but low turn-over, individually customised product, Autogrow needed a supplier who could work in sync with this production style.” “We already had a very clear idea of what we wanted. The hardware needed to be industrial-grade and, because of the greenhouse environment, it had to be waterproof. Jenlogix was able to source the exact product we needed, and has consistently provided a level of service that supports our growth and expansion. Jenlogix is upfront about finding out what we need, they’re quick to come back with answers and they deliver what we need and when we need it.” Other innovative exhibitors include Total CNC Products. “We regard ourselves as New Zealand’s most professional supplier of CNC machine tools,” says Rodney Oxford. “On stand 4066 we will display some of the latest CNC technology from our key partners Kitamura, Victor, and Microcut. “The showpiece in 2014 with be the latest model 3XG machining centre from Kitamura in Japan. The new 3XG keeps all the philosophies that have made Kitamura one of the world’s leading high quality manufacturers of CNC machining centres and incorporates many new features including Kitamura’s own modern control system. This is a must see
LA37 Built to Last Appearing on Stand 2037 is LINAK’s newest actuator for Industry, the LA37 Electric linear actuator. With thrusts up to 1.5 tonne and stroke lengths available up to 600mm, the LA37 is built to last in the toughest environments. Available in 12/24 V DC and offering built-in smart technology such as Modbus, the LINAK LA37 is the perfect alternative for industrial applications.
www.nzmanufacturer.co.nz
machine at EMEX 2014 and at a price that will surprise!” It’s not all hardware and software at EMEX either, with visitors being able to take advantage of access to a wide range of business and support services. One that’s had a lot of media coverage in recent years – and one that no company wants to become the story for – is workplace safety. “Effective health and safety performance involves more than
just having a management plan and systems,” says Rose Radford of Worksafe. “It requires the commitment and involvement of everyone in the workplace. It involves integrating health and safety into day to day behaviour so it becomes ‘the way we do things around here’. “ACC and the Ministry of Business, Innovation and Employment will be at EMEX and able to help you improve your health and safety performance.
NZ Manufacturer April 2014
13
EMEX 2014 PREVIEW What has a yacht builder, a sandblaster and a plastic bag manufacturer got in common? They all use a lot of solvents during the manufacture or preparation of their products. Many thousands of litres of solvents are in use every day in many industries and they are expensive to purchase and becoming even more expensive to get rid of after use. Solvent recyclers have in the past been regarded as an optional piece of gear for many manufacturers but now are seen increasingly as an essential part of the total process. There are two reasons for this; One is the cost benefits that can be had by recycling the dirty solvent in the manufacturing process. The actual cost savings can be far larger than many realise with pay back times of well under 12 months for some installations. The amount of solvent held on site can be reduced and this is important as licences are held for a specific quantity per site. The quality of the recycled solvent is just as good as the original and can be re used in the manufacturing process again and again.
The second, and this is becoming more important every year, is the benefit that can be promoted as a responsible carer for the environment. Customers are becoming far more aware of the effect on the environment that occurs during the manufacture of the products they buy. Commitment to recycling can be used in advertising and in product information to reassure customers that every possible step is being undertaken to reduce negative effects during manufacture. Solvent recyclers are simple to operate and are extremely reliable and long lasting machines that take up minimal space and require no supervision during operation. Almax Industries Ltd, exhibiting on Stand 3062 at EMEX 2014, has a comprehensive range available and can provide calculations to show the savings that can be achieved.
Call Denys Bishop on 0800 101 039 or email sales@almax.co.nz for more information.
www.nzmanufacturer.co.nz
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NZ Manufacturer April 2014
Work spares us from three evils: boredom, vice, and need. – Voltaire
www.nzmanufacturer.co.nz
NZ Manufacturer April 2014
15
EMEX 2014 PREVIEW Auckland Bearing Distributors at EMEX 2014 Friction equals money wasted. With ever increasing energy costs it pay to keep an eye on the parts of your business that help it operate most efficiently. Paper mills use an average of 20% of total energy just to overcome friction . One third of all fuel energy used in passenger cars is used for the same purpose .
1 Holmberg et al. 2013. Tribology International 2 Holmberg et al. 2012. Tribology International 3 Jost. 2005. Proceedings of World Tribology Congress
Overall countries could save close to 1.5% of GDP by greater attention to the reduction of friction . For New Zealand that is over 3 billion dollars that could be invested in other activities, simply by working to reduce energy costs through low friction design and correct maintenance of existing plant. Since 1977 Auckland Bearing Distributors have been sticking to what we do best - supporting New Zealand industry by representing some of the best names in bearings and power transmission. We are proud suppliers of Nachi and NSK bearings, NAK oil seals, Tsubaki chain and many other famous brands. With over 15,000 stock lines and access to a world of specialty parts through our dedicated procurement service, Auckland Bearing Distributors are committed to being THE bearing and power transmission specialists in New Zealand for all sectors of industry. Auckland Bearing Distributors are proud to be presenting at 2014’s EMEX show. EMEX is New Zealand’s foremost industrial trade show and it is a great opportunity to put ourselves and the brands we represent in front of the people who are creating New Zealand’s manufacturing and engineering future. Come and see us at stand 2076 at this year’s show and let us show you how we can put our experience to work for you.
Chain...Bearings...Oil Seals...Lubricants...V Belts...Sprockets...Chain...Bearings...Oil Seals...Lubricants...V Belts...Sprockets...Chain...Bearings...
Phone: 09 444 6566 (24 hours) www.aucklandbearings.co.nz
Proudly NZ owned and operated since 1977
Chain...Bearings...Oil Seals...Lubricants...V Belts...Sprockets...Chain...Bearings...Oil Seals...Lubricants...V Belts...Sprockets...Chain...Bearings...
Come and see us at EMEX 2014 Stand 2014 www.nzmanufacturer.co.nz
4058
4059
4031
4057
4048 4041
4066
4100
4050
4075
4036
4032
4034 4030
4072 4028
4040
4076
4077
4080
4082
4073
4013
Pre-Registered Entry
4001
4002
4011
4012
4017
4024
3085
3078
3064
3065
3073
3079
3075 3076
3080
3081 3084
3082
4073 3035
3008
3015
3016
3019
3061 3063 3062
3071
3058
3000
3002
2118
2116
2114
2112
On-Site-Registered Entry
3055
3005
3003
2072
SHOW INFO
ET1
ET14
ET15
ET26
ET2
ET13
ET16
ET25
2066
2067
2068 2065
2069
2076
2070
2075 2071
2063
3007 3006
2110
2106
2089
2084
Bar
3059
3004
3013
3014
3017
3021
3025
3027b
3027a
2064
3001
3010 3009
3011
3032
3031
3020
3028 3029
3030
3057 3060
4038
3056
3052
3090 3050
3092
3094 3048
3042
3034
HALL 3
7 6 5 4 3 2 1
4 321 5 67
www.nzmanufacturer.co.nz 9 8
HALL 4
ET3
2026/6
2026/5
2026/4
2016
ET4
ET11
ET23
ET6
2026/8
ET7
ET10
ET19
ET8
ET9
ET20
ET21
2000
2002
2004
2005
2006
2011
2012
2013
Lift
Pre-Registered Entry
2030 2029
2007
2035
2017
2014
Seminar Area
2027 2025 2024
Seminar Area
Food Court
Concourse
ET5
ET12
ET17
ET24
2054 2053
2052
2048 2037
2046
2044 2018
2043
2033
2032 2038
HALL 2
27th - 29th May 2014 www.emex.co.nz
Floor Plan
16 NZ Manufacturer April 2014
EMEX 2014 PREVIEW
NZ Manufacturer April 2014
17
EMEX 2014 PREVIEW Exhibitor List Company
Stand #
Company
Stand #
Company
Stand #
2 Degrees Mobile Ltd
2084
EPMU Engineering Printing & Manufacturing Union 2026/8
Order of St John
3D Printing Systems
4024
Eurotec Ltd
3000
Pacific GSM
3D Systems Asia Pac
3082
Filtercorp International Ltd
4057
Panasonic Toughbook
ET24
A & G Price Ltd
ET16
Ford Motor Company NZ
3065
Parker Hannifin (NZ) Limited ENZED
4048
A2K Technologies
3090
FormScan 3D Ltd
2067
Piquet Machinery Ltd
4050
Air & Gas Compressor Specialists Ltd
3064
Fraser Engineering Services Ltd
Plastic Design Technologies Ltd 3D
2011
Air New Zealand Calibration Services
3027a
ET8
2064 ET5
Freight Case Ltd
2027
Plummer Compressors Ltd
4038
Almax Industries
3062
Fuji Xerox New Zealand Ltd
4017
PME Supplies
3016
Ash Air NZ Ltd
4036
Gallagher Contract Manufacturing
3032
Powerbox Pacific Ltd
ET15
Auckland Bearing Distributors
2014
Genesis Industrial Fasteners Ltd
3020
Professional CAD Systems Ltd
2004
Austrian Consulate General/Commercial Section
3050
Global Communications Ltd
ET10
Prosol Limited
ET25
Award Marking
2070
Global Machine Tools Ltd
4001
R F Test Solutions
3057
Axia 3D Design Group
3019
Global Welding Supplies Ltd
2110
ReCoila Pty Ltd
3012
GTG Optics PTY LTD
ET11
Reid Industiral Graphics Products Pty
2112
BASKIVILLE.COM LTD
ET17/18
Bell Technology Ltd
3078
HazTec Ltd
2029
Revolution Precision Machinery
3073
Better Industrial ltd
3061
High Pressure Equipment (NZ) Ltd
2116
Ricoh New Zealand Ltd
2048
Blacks Fasteners Ltd
2063
HSM Works
2065
Road Runner Manufacturing NZ Ltd
4073
BNZ Finance
2034
Hurricane Products Ltd
2006
Safe Air New Zealand Ltd
3027b
BOC 3067
iCNC 4013a
Safety Step Ltd
2072
Boge Compressors Austalia
ifm Efector Pty Ltd
3009
Schneider Electric (NZ) Ltd
3029
Braemac ET13
Industrial Air Systems NZ
4031
Scott Machinery Limited
4011
Burkert Fluid Control NZ Ltd
Industrial Instrumentation Ltd
4030
Seal Imports Ltd
3081
Industrial Lubricants & Services Ltd
3076
Sick Ltd
3010
SOLUTION MANAGEMENT
ET10
Sprockets New Zealand
3018
3064
2114
Cadimage Group Ltd
ET6
Cadpro Systems Ltd
2016
Intercad (PTY) Ltd
Casting Technologies New Zealand
ET20
Jenlogix Ltd
Chevpac Machinery (NZ) Ltd
3001
Kendall Engraving Supplies
3094
Stainless Design Ltd
3035
Cigweld - Comweld Group PTY Ltd
2007
Leap Australasia Ltd
3014
Sulco Distributors Ltd
3008
CNC Direct Ltd
4041
Leussink Engineering Pty Ltd
2071
Supply Services Ltd
3080
Competenz 4028
Linak New Zealand Ltd
2037
Supreme Metal Component Solutions
2025
Composite Helicopters International Ltd
3056
Lincoln Electric Co (NZ) Ltd
2052
Syntech Distributors Ltd
3028
Control Devices New Zealand Ltd
2030
Loctite Henkel New Zealand Ltd
2033
Tasman Machinery Limited
3005
CSE - W Arthur Fisher Ltd
ET21
machineryseller.co.nz ET1
Tech Rentals (NZ) Ltd
Delcam Australia Pty Ltd
3075
Maxon Motor Australia
ET12
Technical Forgings NZ Limited
2076
Metals New Zealand
2024
TNT Express Worldwide NZ Ltd
3052
Digitalweld 3048
Mitutoyo Asia Pacific Pte Ltd
4002
Torks Precision Engineering
ET26
Discon Products Ltd
2038
Moho 3D
2002
Total CNC Products Ltd
DMG Mori Seiki Australia Pty Ltd
3079
Monocrane 2010 Ltd
Dotmar Engineering Plastic products
3007
Mulcahy Engineering Ltd
ET2
Design Energy Limited
Dr Mobiles Limited
2012-2013
2026/6 ET3
2026/4
ET7
4066 & 4075
Trans Ocean Developments Ltd
2075
3004
Treotham Automation Pty Ltd
2043
n3 Business Buying Power
3058
Tronics NZ Ltd
2106
EC Credit Control
ET14
National Instruments New Zealand Ltd
2000
University of Auckland Formula SAE
4110
ECI Software Solutions
2118
Navman Wireless
3015
Victor Hydraulics Ltd
4100
Ecodesign & Automation Ltd
3025
New Zealand German Business Association
3011
Viking Ironcraft (1978) Limited
3021
ECS LAPP Kabel
2035
New Zealand Welding School
3063
Weldwell New Zealand Ltd
2005
Ellis & Company Ltd
2018
Nimbus Software Ltd
2032
Wellforces ET9
EMDA Essentials for Manufacturing and Distribution 3060
NZ Duct & Flex
2044
WorkSafe New Zealand
Emona Instruments
ET19
NZ Engineering News
4040
WorthyCAM 4013
Engineering & Compressor Services
4094
NZIS 4072
Epicor Software (NZ) Ltd
3002
Omron Electronics Ltd
YoungSoft Ltd
2017
2066
3013
www.nzmanufacturer.co.nz
18
NZ Manufacturer April 2014
EMEX 2014 PREVIEW New 3XG – An EMEX show stopper! Total CNC Products and Kitamura Machinery of Japan will showcase the new Mycenter 3XG at EMEX 2014. “This will be the first time NZ industry will see the new model 3XG from Kitamura” say Rodney Oxford, Managing Director of Total CNC. We formed our relationship with Kitamura back in 1997 and sold many of the old Mycenter 3X machines especially into the toolmaking industry due to its exceptional accuracy. Over the years the 3X was replaced with the 3Xi and then the 3XiF models as technology moved and speeds got faster. The new 3XG takes things to a new level. The new 3XG is designed and manufactured by Kitamura to offer exceptional value but without compromising what the world has come to expect from the Kitamura name. All Kitamura machines are still meticulously hand scraped on all mounted surfaces to achieve Kitamura “TGA” or “True Geometric Accuracy”. This TGA process forms the no compromise approach from Dr Akihiro Kitamura President of Kitamura Machinery says Oxford, all machines must be mechanically perfect and no geometric electronic compensation can be used on any Kitamura machine to adjust for squareness, parallelism or mechanical accuracy. One of the features of the new 3XG is the new control system designed by Kitamura and Mitsubishi. The ARUMATIC controller is as powerful as it is friendly to use. It features a huge 19” LCD screen and all high speed machining features are included as standard. The control unit swings out at 90 degrees ensuring comfort and great viewing for the machine operator. The 3XG is designed for small to medium workpieces. It has travels of 760mm(X) x 455mm(Y) and 460mm(Z) the same as all the previous 3X models. A double contact BBT40 spindle of 15,000rpm is standard as is the 30 tool ATC. The rapid feedrates in X and Y are an amazing 50m/min. We have already installed the first 3XG into New Zealand and the customer is extremely happy with the new machine and controller says Oxford. In fact they have ordered a second 3XG already! The new 3XG will be on display at EMEX and Total CNC welcomes all visitors to Stand 4066 to inspect the quality of Kitamura. According to Oxford the other factor that will amaze with the new 3XG is the very competitive price!
www.nzmanufacturer.co.nz
See us on Stands 4066 & 4075
NZ Manufacturer April 2014
19
EMEX 2014 PREVIEW Industrial Air Systems at EMEX 2014 Global compressed air group- Pneutech NZ, is pleased to announce the move of their key NZ distributor ; Industrial Air Systems, into the Auckland market. Industrial Air Systems is exhibiting at EMEX 2014 on Stand 4031. Pneutech’s USA-based international president- Mr Bradley Taylor, says “Industrial Air Systems entry into the Auckland market, brings a whole new field of international expertise, a century of combined product knowledge and decades of local hands-on service experience to a very complacent industry.” Mr Taylor also says that Pneutech subsidiary members such as Industrial Air Systems, “bring to the market the unique combination of huge global resources and buying power, yet the personal service of a locally owned company and staff with a vested interest in their clients.” Industrial Air Systems’ newly appointed Auckland regional manager, Chris Redshaw, says that “the company’s primary focus is to provide a superior service solution to their clients, offering superior flexibility, superior options and superior turnaround to what is on offer currently”. With considerable experience in the compressed air and related energy industry, Chris is also “very aware of the obscure cost of inefficient compressed air systems, and how effective optimisation can save a factory thousands per annum.” Says Mr Redshaw; “ Our first goal is to point out to the Auckland industry, that they now have a choice of world-class compressed air system providers, and then secondly to highlight how our extensive product knowledge and experience, could lead to substantial operational savings, both in energy and maintenance gains.”
‘YOUR LEADING ROTARY SCREW SPECIALIST’
COmpressed AIR Reticulation
COmpressed AIR TREATMENT
Air- COmpressors
Stand 4031
Auckland Wellington Timaru
Sales, Lease & Service of industrial Air Compressors
While specialising in a full range of oil-lubricated and oil-free rotary screw, stationary and portable compressors up to 400kW, Industrial Air Systems also supplies and services both specialised high pressure and gas compressors, refrigerated and desiccant dryers, gas generators, and air reticulation, to name a few areas.
With a locally positioned service team, Industrial Air Systems offers a ‘Master Maintenance Plan’, that guarantees compressed air continuity, 24/7, 365 days a year, and would like to extend a warm welcome to all companies wanting to improve their compressed air performance and add to their productivity and bottom line.
See us on Stand 3027b
Specialist Services Engineering Design Extensive range of capability on the same site - Electroplating - Engineering Design - Shotpeening - Machining and Grinding - Welding - Painting - Non-Destructive testing - Heat Treatment - Metal forming, cutting and drilling - Laser Alignment EMEX EXPO BOOTH NUMBER: 3027 Safe Air Limited Phone: NZ +64 3 5728416
Email: info@safeair.co.nz Web: www.safeair.co.nz
Ph: 0800 555 018 • Email: sales@industrialair.co.nz • www.industrialair.co.nz www.nzmanufacturer.co.nz
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NZ Manufacturer April 2014
EMEX 2014 PREVIEW Largest manufacturer of sprockets and chain at EMEX SprocketsNZ, appearing at EMEX 2014 on Stand 3018, is New Zealand’s largest manufacturer and importer of both British and American Standard sprockets and chain. We are currently servicing a range of industries such as timber, pulp and paper, food processing and packaging, animal and pelt processing, and custom design engineering to name a few. At SprocketsNZ we have a large capacity workshop and with a team of 30 and with our combined industry experience, that is widely acclaimed, we can provide a complete service from design to manufacture through to instillation. With our large CNC and traditional workshop, we are able to offer a service of ‘Any Sprocket, Anytime, Anywhere’. With the continued growth of our company and our customer base, we are constantly increasing our product range and services available to encompass our customers’ needs. With the introduction of new products
available to the industry, we are continually growing. Some of our latest products to hit the market have been Induction Hardened Sprockets, Solid Bush Roller Chain and Heavy Super Strength Chain and Steel Taper Lock Bushes. The Southchain division of PML manufactures’ and assembles a broad range of standard and customized conveying chains, these can include specialized attachments as per request; for all metric and imperial size chains. Almost any chain or sprocket is within reach as we have one of the biggest stock levels of chains and sprockets in New Zealand and an extensive manufacturing workshop. We are New Zealand’s exclusive agents for Donghua Transmission roller chain to conveyor chain, double pitch chain and agricultural chains and supply directly to distributors in New Zealand. We also offer chains in stainless steel, dacromet coated, zinc plated, nickel plated and high tensile steel.
Business software on Nimbus stand Nimbus Software Ltd will be showcasing its Business Management Software on Stand 2032 at Emex 2014. A genuine kiwi company, established in 1975, Nimbus Software has developed a comprehensive suite of Business Management software, providing solutions from the top of your business, right to the bottom line.Managing Director of CF Reese, Hamilton comments on how Numbus Software has worked for them:“Strong workflow tools fit in with how our business operates, and its configurability means we can customise it to our particular requirements. It is integral in logging, job costing and quoting small to significantly large contracts.”
and Job Management, Asset management and Inventory Control, Financial Management, CRM and Mobile Manager. Come and discuss your business requirements with our experienced Business Development Managers who will be on hand to demonstrate a working version of Nimbus Software , and answer any questions you may have on the product, and its capability to be configured to match your exact needs. Mention this advertisement when you visit the Nimbus stand, and go into the draw to receive a Nimbus Business Gift Pack.
Our stand will feature rolling PowerPoint presentations of our latest version of Nimbus which includes features such as Project
Business Management Software for the Contract and Service Industries A totally integrated Workflow Solution, providing Jobbing, Quoting, Costing, CRM, Project Management, Financial and Mobile solutions for your entire business Nimbus Software Limited P O Box 7247 - Nelson Phone: +64 3 548 9893 sales@nimbus.co.nz www.nimbus.co.nz Providing Complete Business Management Software Do it Once, Do it Right Visit us on stand 2032 at EMEX 2014
www.nzmanufacturer.co.nz
21
Go Electric EMEX 2014 PREVIEW NZ Manufacturer April 2014
Spot the difference
LINAK Electric actuator system -
Simple system of actuator, control and power connection Easy to install Integrated positioning Maintenance-free Low energy consumption No fluids or leaks Maintains position without power
VS. Hydraulic system
Pneumatic system
- Complex system of oil tanks, pumps, filters and hoses - Expensive integrated positioning - Requires routine maintenance - High energy consumption - Risk of fluid leaks
- Complex system of compressors, dryers and regulators - High probability of air leaks (lost energy) - Difficult to control positioning - Requires routine maintenance - High energy consumption - High noise levels
VISIT US AT
EMEX STAND
2037
www.linak.com.au www.nzmanufacturer.co.nz
22
NZ Manufacturer April 2014
EMEX 2014 PREVIEW Time to look at tending your CNC Machining Centre with a Design Energy, appearing on Stand 2075, says to remain competitive engineering companies are constantly looking for ways to reduce the cost of producing parts. Some are spending significant amounts money on larger capacity machines, specialised tooling and CAM software which will optimise cycle times. In many cases shaving seconds off a cycle time is celebrated as a win. But three times a day, the machine stops for 15 to 30 minutes while the operator is at smoko or lunch. Most engineering companies running CNC Machining Centres would ask themselves at some point; what is the cost/benefit in automating the loading of the machine? A bar feed on a CNC Lathe is a cheap way to automate the machine loading process, and this has proved to be a “no-brainer” for those application able to apply it. But what about all those other applications a bar cannot be applied to? A 6-axis robot is a great solution for these applications. So why isn’t everyone doing it? The short answer is that the technology is still catching up. Currently most robots are difficult to program and this programming time (up to 60 minutes for a simple loading operation) means the robot can only be economically applied to large runs of 1000 or more parts. In many New Zealand machine shops the batch sizes are more like 5 – 50 parts. Spending an hour programming a robot to load 5 parts does not make sense.
The UR5 from Universal Robots with the Control Box and Teach Pendant.
Nachi unleash the MZ07 “World’s fastest lightweight compact robot” at EMEX
Universal Robots, from Denmark focused on this issue when designing their latest robots, the UR5 and UR10. With this in mind they developed
ifm electronic – close to you!
Nachi Robotics’ New Zealand Distributor, Design Energy is promoting the new
MZ07 Range from Nachi as a game changer for lightweight compact robots. Ben Blower – Sales & Marketing Manager for Design Energy claims “The MZ07 range can outperform any robot in its class, at a very competitive price.”
Focused on close customer contact & reliable technical support.
Bold claims, which are backed up with strong figures.
German product quality & continuous application innovation.
ifm electronic have grown into a world leadership role in sensing solutions for the automation & process control industries.
The MZ07 range has faster maximum speeds on each of its 6 axes than any robot in its class, with joint speeds up to 1000°/second. This speed, combined with repeatability of 0.02mm and the new CFD Controller means the MZ07 range is shifting the goal posts for compact lightweight robots.
See us on Stand 2075
www.nzmanufacturer.co.nz
I_2434
For more info: email: ben@designenergy.co.nz ph: 021 1925 925 Or see the new MZ07 in action at EMEX with the Design Energy Team on the Nachi Robotics Stand (#2103)
With 4,900 employees in 70 countries, ifm develop & sell solutions for more than100,000 customers globally, predominantly in heavy industries, where the highest level of quality & reliability is essential.
See us at stand 3009
ifm efector pty ltd Free call 0800 803 444 www.ifm.com/nz
NZ Manufacturer April 2014
23
EMEX 2014 PREVIEW Robot? affordable, flexible robots which can be programmed to load a CNC Machine in 5 – 10 minutes. The programming time has been slashed by using a touch pad teach pendant, and being able to pull the robot around by hand, to show it where to go. They also removed the requirement for safety guarding, by building the world’s first ISO 10218-1:2006 compliant robots. So what are the real benefits? A typical CNC Machine is charged out at around $80 per hour. The real labour cost, with holidays / ACC / benefits included is usually around $40 per hour. So reducing the labour content has a significant effect on the cost of each part. For example, a batch of 5 parts with a cycle time of 300 seconds and a loading time of 45 seconds. The standard labour content would be 0.48 hours, but for a robot the labour time is 0.18 hours (10 minutes programming and 50 seconds to load material into a magazine). So the
reduction in the labour cost of each part is $2.43, which may not seem like a lot, but if your CNC machine runs 70% of the time for a month (just 5.6 hours a day, 21 days per month) this adds up to savings of around $3000 per month. And the cost? A 6-Axis robot from Universal Robot’s Distributor in New Zealand, Design Energy, can be applied to a CNC Machine for as little as $1,500.00 per month on a lease to own plan. The Universal Robots weigh as little as 18kg, so you can easily pull it off one CNC Machine and apply it to another machine. The robot and CNC Machine could be set to start a production run as you walk out the door at the end of the day. If you get the same contract again the program can be loaded and the robot up and running in less than 2 minutes, further reducing the labour costs.
One stop hose reel shop on Stand 3012 ReCoila is New Zealand’s one stop hose reel shop, with reels to suit a wide range of industry applications in addition to the general manufacturing and food and beverage sectors. ReCoila has been making hose reels for decades - over thirty five years in fact - and it’s this manufacturing wisdom, coupled with competitive pricing, knowledgeable staff, a wealth of technical information and solid after-sales service that positions us firmly at the forefront of our industry. With a well stocked distribution centre in Auckland and a manufacturing facility in Sydney, ReCoila has a team of experts to ensure our reels are designed and manufactured to exacting standards. With a comprehensive range of hose, cord and cable reels and a custom design service, ReCoila can supply the right reel for your individual application - with safety and productivity in mind. A core range of Australian made products is supplemented with imported reels for the highest quality manufacturers in Europe and the USA to present a comprehensive product portfolio. ReCoila Hose and Cord Reels has long been active in the manufacturing sector and can supply a wide range of spring rewind reels for hot and cold water wash down, food gases, air, as well as reels for factory and workshop maintenance applications such as welding, oil and grease, and reels in stainless steel for hygienic food processing use. At EMEX this year we are looking forward to exhibiting a cross section of reels for different applications so why not drop by and meet our team on Stand 3012. For more information visit www.recoila.co.nz or contact our friendly team in Auckland on 9 441 0177.
NEW ZEALAND’S ONE STOP
HOSE REEL SHOP Air • Water • Hot Water • Oil Grease • Fuel • Chemicals • Gases Breathing air • Electrical cable Hydraulic uid • & more! VISIT US ON STAND 3012
Phone 09 441 0177 sales@recoila.co.nz www.recoila.co.nz www.nzmanufacturer.co.nz
24
NZ Manufacturer April 2014
EMEX 2014 PREVIEW Achieve optimum control for your machines Schneider Electric presents the next evolution of machine development for single software environments and the key to MachineStruxure™ SoMachine v4.1. Develop, configure and commission an entire machine with a flexible and scalable control platform. SoMachine is the professional open software solution.
SoMachine is a single software environment with: One software package One project file One connection One download operation
EPLAN Software & Service EPLAN Software & Service develops CAE solutions and advises companies on how to optimise their engineering processes. One of the featured products from EPLAN Software & Service is EPLAN Electric P8. EPLAN Electric P8 is used to configure, document and manage electro-technical automation projects for machines and systems. The automatic production of detailed reports based on wiring diagrams is an integral part of a comprehensive documentation system and provides subsequent phases of the project, such as production, assembly, commissioning and service with the data required. Engineering data from other project areas can be exchanged via interfaces with the CAE software, thus guaranteeing consistency and integration throughout the entire product development process. You will find EPLAN on Stand 3025 in Hall 3 at EMEX 2014. For more information, visit www.eplannz.com.
Visit us at EMEX on stand 3029
For more information contact Customer Care on 0800 652 999 or visit www.schneider-electric.com
Work place safety to the fore
Cigweld on Stand 2007
It’s not all hardware and software at EMEX either, with visitors being able to take advantage of access to a wide range of business and support services. One that’s had a lot of media coverage in recent years – and one that no company wants to become the story for – is workplace safety.
An exhibitor with both a long history in New Zealand, as an industry supplier and at EMEX is Cigweld, a division of Victor Technologies USA. exhibiting on Stand 2007. Ken Durbin says the company showcases at all global major exhibitions. “EMEX is another one for us to be at. It has always offered strong channels to a broad spectrum of potential consumers. We open many sales opportunities and link with the industry. We make contact with old business acquaintances and new businesses, trading technology information”
“Effective health and safety performance involves more than just having a management plan and systems,” says Rose Radford of Worksafe. “It requires the commitment and involvement of everyone in the workplace. It involves integrating health and safety into day to day behaviour so it becomes ‘the way we do things around here’.
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EMEX 2014 PREVIEW Safe Air – One stop electroplating and engineering services Tony Little, Manager Specialist Services, oversees the largest electroplating bay in the southern hemisphere. “We are very proud of the breadth of services we offer – from chrome to nickel, copper, cadmium and silver, ours is the pre-eminent location for all plating, and at one location!” This highly-regarded plating resource is utilised by many of our core maintenance services, such as on propeller shafts, hubs and engine parts. International customers come to SAFE in New Zealand as their first choice for these services, finding the on-stop facility can save money and turn-around time. In conjunction with the specialist plating bay, we offer the gamut of capabilities around machining, metal forming, grinding, welding, shot-peening, heat treatment and painting to name a few. Together with non-destructive testing, calibration, and optical alignment, SAFE is a power-house of manufacturing solutions to NZ industry. To round out the one-stop services, SAFE offers a single source comprehensive range of Engineering design services. David Goodwin, Manager, ED, directs a formidable team of design engineers whose expertise is responsible for innovative turn-key solutions from concept development to finished product as well as complex repair solutions to flight critical structure. Safe Air is on Stand 3027b.
Keep one step ahead of the competition
Time is precious. The EPLAN Platform allows you to develop quality products more efficiently and puts you one critical step ahead of the competition. The interdisciplinary solution for planning, engineering and production speeds up the development process and is now available in 50 countries and 17 languages around the world. So when will you experience your e-effect? www.eplannz.com Visit EPLAN exhibition booth (Hall 3, Stand 3025) at EMEX 2014, from 27 to 29 May 2014 at ASB Showgrounds, Auckland. PROCESS CONSULTING
ENGINEERING SOFTWARE
IMPLEMENTATION
GLOBAL SUPPORT
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EMEX 2014 PREVIEW Mitsubishi Advanced laser technology represented At EMEX The release of the latest Mitsubishi Electric 45CF-R and 60XF laser resonators and their range of CO2 laser cutting machines has provided the sheet and plate cutting industry with a highly efficient, cost effective, and reliable laser cutting machine. The advances in Mitsubishi laser technology are aimed at improving cut surface finish and lowering operating and maintenance costs. Smooth edge cut finish allows the laser cut part to be plated or painted without the need for a secondary milling operation to clean up the rough laser cutting lines on the part edges. Removal of secondary milling cleanup operations can save considerable time and cost in component manufacturing plus reduce the overall overheads required when more processes are involved. A range of Mitsubishi 45CF-R CO2 laser cut samples from Steel and stainless will be on display at Revolution Precision Machinery EMEX stand 3073. Laser operating costs are a prime consideration for the Mitsubishi Japan based R&D team and they have been at the forefront of cost saving laser technology over the past 35 years. Mitsubishi Electric has built over 10,000 laser machines since starting production at their Japan factory in 1979.
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The new CF-R and XF resonators are at the leading edge of modern laser technology and offer considerable savings over many older technology laser resonators in current use. The latest Mitsubishi CO2 resonator has the lowest laser gas usage of any CO2 laser of equal power output and also one of the lowest maintenance and service costs.
service agent Revolution Precision Machinery has the full range of 4.5KW and 6KW Mitsubishi laser cutting machines available. The agent’s factory authorised New Zealand based service team is fully equipped to carry out all maintenance and repair on the laser machines and resonators.
The overall advances in Mitsubishi laser technology with smooth edge, low laser gas use, and fast piercing have created a competitive advantage over competing brands and their technology.
For more information on the Mitsubishi range of advanced laser cutting machines contact Phil Robinson sales engineer for Revolution Precision Machinery (RPMcnc) at EMEX Stand 3073 or phone CHCH 960 0892 or AKL2650380 www.rpmcnc.co.nz
New Zealand Mitsubishi Electric authorised sales and
NZ Manufacturer April 2014
Failures are finger posts on the road to achievement.
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TECHNOLOGY
-Charles F. Kettering
Optimising Feed Systems for Injection Moulding When it comes to solving quality issues with injection moulded parts ACS Design has noticed a common theme. That is, the tendency to concentrate on the part only and forget about the most important item in the whole process - the feed system. If the gate, runner, sprue and machine barrel orifice are not sized correctly, then it is very difficult trying to improve part quality. Get the material flowing into the cavity without restrictions first before trying to tune the part. Working from the material and wall thickness of the part, determine the correct gate size (smaller for crystalline polymers and larger for amorphous and reinforced polymers), size the runners based on gate size, then size the sprue and match the machine barrel orifice to the sprue small end. This last item is where most moulds fall down. The small sprue diameter should be no less than the main runner diameter and the barrel orifice only 10% smaller than the sprue. This sizing system has the effect of allowing the melt temperatures to be run lower because the larger barrel orifice prevents the melt freezing off too soon. Less heat in the melt results in faster cooling in the cavity, less thermal shock as the melt hits the mould walls resulting in less moulded-in stress. To help in this regard, the tool temperatures can be increased as well, (no need to have very cold tools as the melt temperature is less), further reducing stresses and potential warp & distortion. If you or your company want to take advantage of the injection mould simulation tools that can help you with product development and mould trouble-shooting then give ACS Design a call today.
Problem: How to improve moulded part quality? Solution: Ensure that the gate, runner, sprue & machine nozzle are correctly sized. Result: Better part quality, less rejects, higher profitability.
PharmaSuite brings production Life sciences companies have the dual task of maintaining flexible production lines to respond to changing market demands and cost-effectively managing compliance requirements. Rockwell Automation continues to expand the flexibility of its Rockwell Software PharmaSuite v5.2 system (MES) to help manufacturers respond to these challenges and execute electronic batch records in new and more efficient ways. The PharmaSuite v5.2 system includes improved agility and production control, as well as native integration with FactoryTalk Historian software and the OSIsoft PI System to help pharmaceutical and biotech companies optimize production, improve reporting and shorten development time.
tablets to a production line station to enable worker mobility and collaboration in a more flexible, but still secure manner.
Native Historian and MES Integration The newest version of the PharmaSuite system also includes native integration with FactoryTalk Historian software and the OSIsoft PI System to increase insight into production by gathering and archiving actionable information into one deliverable. Historian integration automates the process of collecting historical data,
developing trend charts, and attaching this information to the batch record. This reduces human error so operators can focus on production rather than reporting. “We look forwarding to expanding our long-standing alliance with Rockwell Automation to simplify MES-historian integration because we understand the importance of accurate, historical data in making smarter decisions, and clearly and easily communicating historical production quality to regulators,” said Ted Gorrie, Vice President of Enterprise Sales, OSIsoft. “Integration with the PharmaSuite system increases the value of the investment manufacturers
have already made in our historian and MES systems.”
Managing Batch Records The PharmaSuite v5.2 system also has the ability to export production orders and electronic batch records for long-term archival using PDF and B2MML standards. With this, regulatory requirements for batch record retention can be efficiently supported. Increased execution efficiency and completeness of batch records will help manufacturers to further reduce overall production costs and accelerate the return on investment.
Improved Agility and Production Control Recipe elements can be executed in parallel by multiple shop-floor operators with the PharmaSuite v5.2 system. On the production line, recipe tasks can be freely moved between electronic batch recording stations or can be fixed to a specific station by recipe design. This iteration allows operators to define and control the level of execution freedom on the shop floor and increases the efficiency of electronic batch recording. In addition, the PharmaSuite v5.2 system supports dynamic registration of devices like industrial laptops or www.nzmanufacturer.co.nz
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TECHNOLOGY
Success seems to be largely a matter of hanging on after others have let go. -William Feather
PowerSHAPE 2014 R2 provides quick and easy methods to reverse engineer scan data into CAD models.
PowerSHAPE Pro faster re-engineering from scanned data The 2014 R2 release of Delcam’s PowerSHAPE Pro CAD software includes a range of new functionality for the design of products and tooling. In particular, the new version introduces powerful new tools to make re-engineering complex parts from scanned data faster and easier, plus an option to merge disjointed faces within a solid and so make direct modelling operations more robust. By offering a combination of solid, surface and direct modelling, together with reverse engineering functionality, PowerSHAPE Pro provides the most comprehensive range of design techniques available in a single CAD program. Having all the different technologies in the same package reduces the need to transfer data between multiple programs and so streamlines the whole product development process. At the same time, the combination of quick and easy direct modelling options, together with powerful and flexible surface modelling, makes PowerSHAPE the perfect choice for design for manufacture.
The new automated tools for re-engineering provide quicker and simpler methods for segmenting a mesh of scanned data into primitive regions, such as planes, spheres, cones, cylinders and tori, as well as into revolved or extruded surfaces. Primitive surfaces or solids are then fitted automatically to those regions. The user has control over the fit tolerance used when creating the geometry and over the types of primitive to be identified. For more complex geometry, or when finer control is needed, mesh segmentation can be carried out manually. The user simply chooses the region where the geometry is to be created and selects the primitive type to be used. PowerSHAPE Pro then creates the surface or solid to the specified tolerance. As each region is converted, it changes colour, making it easy to see the areas of the model that still require work. Regions with complex, free-form geometry can now be replaced with a single surface. The target area can be selected with a set of easy-to-use options, while a single dialogue box gives control of the fit of the surface to the mesh. The same technique can be used for areas with large amounts of detail, such as logos or textures. Once the main surfaces have been created, whether by automatic or manual methods, they can be trimmed together to form a single, closed solid automatically. Interactive controls allow dynamic adjustment over how
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the surfaces are trimmed to each other, while specific faces can be marked so that they are kept or deleted. All PowerSHAPE Pro models, including those created by reverse engineering, can now be simplified with a new option that merges fragmented faces into a single, continuous surface. This simplification makes subsequent operations, such as adding draft to complex regions of the model, much easier and also improves the operation of many of the direct modelling tools in the software. Following the introduction of the Smart Feature Manager in PowerSHAPE Pro 2014, these capabilities have been enhanced with the addition of the Smart Feature Selector. The Smart Feature Manager allows users to identify all the features, such as fillets, slots, bosses etc, within a solid in a single operation and so makes the analysis of the imported data easier and faster. The Smart Feature Selector then allows multiple similar features to be found and selected, regardless of where they appear in the model’s history tree. The software includes a set of filters so that all the features that fulfil specific criteria can be identified within the model. For example, the Smart Feature Selector can find all the holes having the same, specified diameter or those having radii between two values, or it can identify all the fillets with less than 2 mm radius. Similarly, if a single feature is identified, all similar features
can be selected with a single click. Creating groups of similar features in this way makes it easier to manage the feature tree. Once the particular group has been isolated, all the features within it can be suppressed or deleted simultaneously. Groups of features can also be placed on layers or coloured so they can be recognised as a group within any of Delcam’s CAM programs, thus simplifying their manufacture. A new wrap option will also simplify manufacturing. This allows a radial pocket to be created that is suitable for turn-milling with Delcam’s FeatureCAM or PartMaker CAM software. An easy-to-use wizard unwraps selected solid faces, together with any features that affect the faces. The unwrapped geometry provides a simple 2D map that allows fast, accurate creation of the wireframe geometry that defines the feature. Editing of surfaces has been made easier in PowerSHAPE Pro with new 3D dynamic-drag handles that give more precise control when dragging points on curves or surfaces. As well as allowing tangencies and magnitudes to be adjusted, the handles enable points to be dragged along the direction of the surface normal or along a known axis. Clear graphical feedback as the edit is made shows exactly how far a point has been moved and the direction of the movement.
NZ Manufacturer April 2014
You may never know what results come of your action, but if you do nothing there will be no result.
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ANALYSIS
-Mahatma Gandhi
Why companies need to consider raising capital in Australia - Angela Traill, NZTE Investment Manager, Australia,
Since 2008, most of the world has been in an investment downturn with low levels of investment relative to GDP. The Australian picture has been very different, with an investment boom, particularly in the private sector. We’re well acquainted with our closest neighbours in the Trans-Tasman investment context. Australia is by far New Zealand’s largest investment partner for both inward and outward investment. Australian investment in New Zealand accounts for over a third of New Zealand’s total foreign investment. Of the NZ$315.5 billion foreign investment in New Zealand in the year ending 31 March 2013, NZ$110 billion was from Australia. Based on the above, here are five good reasons to consider raising capital in Australia. 1. The huge size of the Australian investment funds sector The Australian
investment funds sector is a behemoth compared to New Zealand’s. Australia’s pool of funds under management is the third largest in the world, and the largest in Asia. Superannuation funds underpin the growth of this sector: the mandated retirement savings scheme saw total superannuation assets reach AU$1.75 trillion as at 30 September 2013. 2. The flow-on effects of these funds into the Private Equity and Venture Capital sectors The investment funds mentioned above are not all invested in domestic assets; there is a big flow-on effect into the local investment community. Angel investing, retail investment on the Australian Securities Exchange (ASX), the venture capital (VC) and private equity (PE) sectors are all beneficiaries of Australia’s compulsory
LanzaTech to establish headquarters in Illinois LanzaTech, a company founded in New Zealand, will establish its global headquarters in Illinois.
LanzaTech will share a 160,000 square foot facility, occupying 41,000 square feet of lab and office space.
The move will generate 30 new Illinois jobs with employees transferred from New Zealand and 35 additional employees will move from Roselle in Illinois to the new site in Skokie during 2014. The new location also will serve as the company’s research and development center with a new investment of more than US$17 million.
To assist with the move, the Illinois Department of Commerce and Economic Opportunity (DCEO) has approved tax credits for LanzaTech worth an estimated US $1.1 million over the next 10 years. The credits against the company’s state income tax liability are available under the Economic Development for a Growing Economy (EDGE) program.
LanzaTech, which recently closed a US$60 million fourth round of venture capital funding, has won numerous awards for its technology that captures and reuses waste carbon emissions for the production of fuels and chemicals. The new corporate headquarters, which will include proprietary synthetic biology and gas fermentation science, will be at the Illinois Science and Technology Park in Skokie, a US$500 million, 23-acre bioscience campus.
LanzaTech, which will continue to have a presence in New Zealand, China, India and Europe, is the first company in the world to have produced fuel grade ethanol from steel mill off-gases. The company’s pre-commercial facility in China, which can produce ethanol at an annualized rate of 100,000 gallons per year, earned an internationally recognized sustainability certification from the Roundtable of Sustainable Biomaterials in 2013.
superannuation scheme. The Australian VC industry has raised over AU$2 billion in funds over the last decade, and it’s PE industry, over A$25 billion. Last year PE & VC made total investments of AU$2.7 billon, into 133 companies. This compares with New Zealand PE and VC investment in 2012 (most recent stats available) of NZ$111.4 million, spread across 62 deals. 3. It’s not necessarily all about the big deals The capital markets in Australia aren’t all about the private equity firms at the big end of town. There are other options for companies looking to raise capital in the $500,000 - $5 million range. These include platforms to access Australia’s significant number of ‘high net worth’ individuals numbering around 207,000, worth about US$625 billion . Other opportunities include Wholesale Investor and ASSOB, along with private wealth managers and boutique corporate advisory firms. There are many avenues for companies looking for capital in Australia, and NZTE can help you find the right niche. 4. New Zealand companies are on the radar Anecdotal reports from contacts in the capital markets sector in Australia are that New Zealand companies represent great value. We are seeing more and more Australian companies visiting New Zealand on the lookout for
investment opportunities. The AVCAL 2013 yearbook confirms this trend, noting that New Zealand-headquartered companies grew their share of PE & VC investment by Australian funds in 2013. Of the AU$2.7 billion investments made in 2013, New Zealand investments accounted for AU$97 million (four percent of total) represented by 10 companies (eight percent of total). Year-on-year, investment amounts grew from $59 million to $98 million, with the number of companies obtaining investment rising from four to 10. 5. We have similar cultures and lifestyles We’re both relatively small population countries, separated by a mere 2,250km. We enjoy good-natured (usually) rivalry on and off the sporting field and debate ownership of certain national treasures. We have similar cultures and lifestyles and some would say that we’re the two best places in the world to live. Australia is our closest neighbour and largest trading partner, so it makes a lot of sense to look to Australia for expansion capital. Australian-New Zealand alliances really do work, especially when it comes to trade and investment. And as far as good neighbours go, there is a lot of opportunity on the other side of the ditch. -NZTE
Manufacturing policy makes sense; short on detail On the surface much of Labour’s prescription for manufacturing is sound though questions remain over some of the detail not yet announced, the Employers and Manufacturers Association says. “The Economic Upgrade for manufacturing proposed by Labour in essence makes good sense,” said EMA chief executive Kim Campbell. “But we haven’t yet seen all the grainy detail. “Overall the goal of the investment policy is laudable though business is wary of a capital gains tax since it could act as a brake on the supply of new housing.
New Zealand Standards. “Backing the regions is also sound public policy. “However it is unclear what is proposed to change the rules on foreign direct investment to favour investment in New Zealand manufacturing. “Likewise, the objective of freeing up capital for manufacturing is fine but we don’t yet know what is being suggested. “Overall Labour’s policies for manufacturing are largely encouraging but some of the important detail has still to come to light.”
“The policy to introduce a 12.5 per cent tax credit for R&D would assist as it at least matches Australia’s. “Business would certainly welcome a more proactive government procurement policy and especially to ensure overseas purchases always met www.nzmanufacturer.co.nz
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ENERGY REPORT
There are no secrets to success. It is the result of preparation, hard work learning from failure. -General Colin Powell
Kiwi company selected for ‘Dragon’s Den’ style pitch Small New Zealand technology start-up Gyro Technologies Limited (GTL) was chosen as one of only 15 companies to pitch to investors at the Cleantech Forum held in San Francisco recently. GTL was chosen from many applicant companies to showcase their ground-breaking wind power technology to an audience of over 700 potential investors including many international investment fund managers. Each of the 15 companies ahd only three minutes to pitch their idea or technology to the audience, but received specialist coaching and were able to rehearse their pitch with peer and expert feedback before taking to the main stage. Gyroscopic Variable Transmission (GVT), the brainchild of New Zealander Mr Jega Jegatheeson is designed to make wind and wave power more efficient and cost effective. GVT recently featured in a new book, “Innovation in Wind Turbine Design”, by Glasgow-based wind expert Peter Jamieson who described it as “being on the leading edge of wind power technology”. Warren Snow whose company Envision New Zealand provides management support to Gyro Technologies, made
the pitch for the company. “This is an amazing opportunity for a small kiwi start-up. We have struggled to get support for developing the technology in New Zealand but now have alliances with two international centres of Excellence in the US and UK who are willing to help take the technology forward.” Heather Matheson, Senior Program Manager, at Cleantech Group, said that the organisers received many qualified applications for a limited number of presenting slots. Gyro Technologies was selected because of the potential of its technology and the solutions it can provide. She said that interest in the Forum from the Cleantech community has been very strong and there was a large audience of accredited and interested investors at the Forum. The inventor of GVT, Mr Jegatheeson, previously an engineer with the former Electricity Corporation of New Zealand, has worked for over 15 years to solve the problems faced by the wind power industry of gearboxes breaking as a result of the massive wind gust forces they are subjected to. “It’s widely recognised in the industry that wind turbine gearboxes cannot stand up to the incessant forces over
time and many fail within as little as five to seven years. The costs of repairs and also downtime are very significant and alternatives such as direct drive create other expensive problems,” says Mr Jegatheeson. “Unlike traditional wind turbine gearboxes around the world, GVT technology doesn’t rely on gears and expensive electronics. It instead uses gyroscopic reaction forces to transfer the power from the blades to the generator at variable speed ratio with less stress on the turbine. This will significantly reduce costs – possibly as much as 50% compared to existing systems.” “Wind power is growing at a phenomenal rate worldwide and it would be nice if a New Zealand invention could be powering wind turbines of the future.” “We are currently raising funds to support the development of GVT at Narec (National Renewable Energy Centre) in U.K. and Texas University in U.S., the opportunity to pitch to hundreds of potential investor is huge for us. In the past we aimed to build a large GVT transmission and test it in a full size working wind turbine. A major New Zealand power company offered us a turbine for the trial, but the problem, as always, was funding. Unable to find a suitable partner and
Warren Snow.
support in New Zealand we have had to look overseas. That’s the reality of developing such challenging technologies in a small country,” says Mr Jegatheeson. Agreements have recently been signed with Narec Capital in the UK and a US consortium of Texas Tech University Department of Mechanical Engineering and renewable energy development company Group NIRE. “We are still keen to hear from locals who would like to be involved”, said Mr Jegatheeson. “Ultimately this is a kiwi invention and we are proud to be taking it to the world.”
Online tool compares energy efficiency of dairy sheds Dairy farmers could save $42 million through electricity efficiency measures in the dairy shed, and now an online tool is available that gives individual farmers an idea of how well they are making use of the electricity they pay for. EECA BUSINESS has launched the Dairy Farm Energy Efficiency tool, which compares a dairy farm’s
electricity use to other dairy farms in New Zealand, and to best practice. The average New Zealand dairy farm spends over $20,000 a year on electricity, but dairy sheds vary a lot in how efficiently they use their electricity, says Kirk Archibald, EECA projects and relationship manager. “Some dairy farms are using three times as much electricity as others for the same milk-solids production.” Overall, dairy farmers could save $42 million a year through cost effective
technologies and simple actions. “The Dairy Farm Energy Efficiency tool is designed to help dairy farmers see if they are missing out on making significant savings. “By answering a few simple questions, you can map your energy use against 150 dairy farms across New Zealand. You can find out how you compare against others, and the improvements that would make a difference in your milking shed,” Kirk Archibald said. Overall, New Zealand’s 12,000 dairy farms use $251 million worth of electricity, or 7% of New Zealand’s total electricity use. It is estimated that electricity contributes 15c to the cost of every kilogram of milk solids produced. Interim results from a programme run by EECA show dairy sheds have reduced electricity use by around a fifth after installing heat recovery equipment. Energy data collected from 15 farms shows that energy efficiency
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upgrades have reduced electricity use by 21% overall, meaning projects will have paid for themselves in under 3 years on average. Currently 37 farms are taking part in the EECA BUSINESS Dairy Shed Heat Recovery Programme, in which EECA provides advice and funding to farms to reduce electricity use. Energy efficiency changes include heat recovery, variable speed drives and vat insulation. Further farms are being encouraged to take part in the EECA BUSINESS Dairy Shed Heat Recovery Programme with funding of up to 40% of the cost of energy efficiency changes available to dairy farmers until 30 June 2014. Details can be found at www. eecabusiness.govt.nz/dairy-farms To see how your dairy farm measures up, try the EECA BUSINESS dairy shed electricity efficiency tool at www. eecabusiness.govt.nz/tools/dairy-tool
Introducing
Work spares us from three evils: boredom, vice, and need. – Voltaire
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NZ Manufacturer April 2014
OPINION
Success usually comes to those who are too busy to be looking for it. -Henry David Thoreau
Manufacturing report good but should go further It is always good to see a report which focuses on the importance of New Zealand’s manufacturing sector. There is always the opportunity to do better. The recent report by Castalia, “New Zealand Manufacturing Sector: Its Dynamics and Competitiveness” outlines a summary of the sector based on a survey of 15 successful manufacturers. The report contained some good analysis, particularly on the contribution manufacturing makes to the New Zealand economy, and the critical linkage between manufacturing and the service sector, that said, there are some important issues overlooked. The survey covered both resource based manufacturers (5/15), and value creation manufacturers (10/15), with a mix of private, public, domestic and foreign ownership. Firms whom are resource based are always tied to New Zealand. However organisations based on value creation can operate from anywhere. So what ties them to New Zealand? It could be demanding consumers or their owners are located here? It is unlikely to be due to our local market size, low costs, exchange rate or policy framework for manufacturing. Nothing can be done around markets, not much can be done around cost, however currency fluctuations and other policy settings are matters of choice. Often we see graphs that show a general downward trend of manufacturing as a percentage of GDP here and in other selected economies, to demonstrate the idea that such a decline is natural and inevitable. But there are countries that have effective policies aimed at supporting their manufacturing sectors, Germany, Switzerland and South Korea for example; this difference is a matter of policy choice, decline in manufacturing relative to the remainder of an economy is neither natural nor inevitable. In any research sample bias is a problem, particularly with small one off investigations. In this case the “star” bias is evident. Electing to focus on successful or “star” firms, promotes the view that since they are succeeding, all other firms should be able to also, and yet obvious problems demonstrate that success for some does not follow with success for all. Furthermore the emphasis
-John Walley, NZMEA
on the successful will always bias to support for the status quo. Better to focus on the threshold of failure, as changes that help at that end of the distribution have the capacity to help all and reduce failure rates. The status quo bias can also be seen by the number of firms in the sample that have benefited from the status quo via substantial public funding, through Callaghan Innovation. In the recent rounds of Project Grants released in January, four of the sample companies received grants, as well as one firm receiving the Technology Development Grant in 2012. While it is great to see firms receive funding, it is not surprising that these firms support the current system. In our view, for the purpose of boosting Research and Development (R&D), R&D tax credits are much more effective than grants. The reach of a grant system is always limited, R&D tax credits help many more companies, but this policy option was not put forward in the Castalia report. The report also failed incorporate information gathered in the Manufacturing Inquiry, which heard from a much larger range of manufacturers, through 128 detailed submissions. While recommendations for Government policy within the Castalia report had some merit, they failed to extend them to tackle all the pressing issues facing New Zealand manufacturers. We agree with the importance of establishing an overarching manufacturing policy plan, as the sector is very different and diverse compared to other parts of the economy. Sadly the report skates round the elephant in the room for all exporters and import competing companies, the exchange rate. The exchange rate problem is mentioned in passing but gets scant attention and no attempt at a solution set.Quite rightly the critical importance of investment is underlined, but investment requires a margin that an overvalued exchange rate simply destroys. Supporting and encouraging investment is perhaps the most critical policy issue for manufacturers; few will be investing in R&D, equipment and human capital on the basis that nothing will be done with the policies around exchange rates.
More “under new management” signs in New Zealand More businesses in New Zealand than any other country in the world, apart from Finland, are anticipating a change of ownership in the next two years.
from the New Zealand stock market and a significant lift in the number of IPO’s,” says Gray.
The latest Grant Thornton International Business Report, which surveys 12,500 business leaders in 45 economies, shows that 27% of New Zealand businesses anticipate a change of ownership by 2016 - more than double the global average of 11%. Only Finland ranked higher than New Zealand at 33%.
“The New Zealand economy had a strong, early exit out of the GFC. We are well ahead of Australia and a lot of our major trading partners.
Grant Thornton New Zealand’s Head of Lead Advisory, Martin Gray, says the findings reflect growing confidence in New Zealand in a post Global Financial Crisis era. “New Zealand has had a couple of good years in terms of growth; there have been some good corporate performances, we’ve witnessed a strong performance
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“This environment is contributing to renewed confidence, and owners sense that their businesses will achieve higher valuations than any time since 2007.” The report shows 29% of the New Zealand businesses expecting a change of ownership in the next two years are anticipating management to be involved in the acquisition. This is up from 24% in 2012. “What we see happening is private equity is available to support management buy-outs and management buy-ins. Trade buyers have been prominent in the GFC looking to acquire market share in a depressed environment where some businesses have struggled. The level of distressed sales has abated. “Trade buyers are still active. These buyers are likely to be dynamic1 companies looking at strategic acquisitions for growth, rather than the relatively opportunistic approach of recent years. The survey results reveal that globally 55% of dynamic businesses plan to grow through acquisition, compared to 31% of all businesses. “Bank liquidity is high and funding readily available to both private equity backed management teams and trade buyers for well thought out acquisitions.” Gray says business owners in the baby boomer generation, who are at or nearing retirement age, will be more inclined to sell as the value of their business increases. “The next couple of years will be a good time for a baby boomer to exit their business.”
2014 NZ Manufacturer April 2014
Work spares us from three evils: boredom, vice, and need. – Voltaire
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NZ Manufacturer April 2014
PRODUCT NEWS
The only good luck many great men ever had was being born with the ability and determination to overcome bad luck.
Stiebel Eltron builds on nine decades of innovation DHCE water heaters are ideal for a range of commercial and domestic situations and are designed to service single or multiple hot water outlets or low flow showers depending on the in coming cold water temperature and available flow rate for the associated tapware. Three models are available in the single phase range. The DHCE 6/50 and the DHCE 8/50 deliver hot water to a maximum of 50°C. These models both comply with AS 3498-2009 which covers the heating of water used in places of personal hygiene and allows the machine to be installed without the need for an external tempering device. The DHCE 8/60 on the other hand delivers 60°C hot water. In facilities suitable for disabled users the mandated outlet temperature is 43°C, which must be controlled using thermostatic mixing valves. To be most effective, the inlet hot water supply to most valves must be at least 10°C above the required outlet temperature, making the DHCE 8/60 model an ideal choice. All models feature a low-flow switch that allows the unit to start heating the water with a flow rate as low as 1.5 litres per minute. With an increasing number of low flow tapware available, the DHCE models are ideal water
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-Channing Pollock
Anchors aweigh
heaters for these taps to ensure that hot water is delivered at low flow rates. Instantaneous electric hot water heaters achieve the lowest levels of water wastage of any hot water system available, partly through their capacity to reduce delivery pipe lengths, and partly through the ability to heat water faster than competing systems. The heaters can be used as a booster unit in commercial installations where there are long deadlegs between a storage heater and any outlets. The water will be warm at the point of use and require minimal additional energy to bring it up to the required temperature. The electronically controlled thermostat switches off the heater when the water reaches the set temperature. The compact design of the range, combined with water connections on the rear and bottom of the unit, allows the water heaters to be installed as close to the point of use as practical. Possible installation locations include inside a cupboard, a Euro laundry, or mounted on a wall either under or over a sink. Stand alone instantaneous systems offer many advantages. Water is only heated at the time of use, energy is not wasted in maintaining a stored volume of hot water, operating costs are reduced and less water is wasted by the user while waiting for sufficiently hot water to arrive to the outlet.
An anchor is not just an anchor; consider the Seahawk SHHP anchor, for example. This anchor combines exceptional design with high functionality. It scores over other models available on the market not only with its high-quality processing but also with its lower weight and therefore lower cost, as well as its higher holding power. Three years of development time were invested in the anchor and what is special about it is the anchor is composed of only three parts and has no welds. The forged and turned anchor bar – secured by a crescent with two locking screws – is simply inserted into the anchor blade. With this new, three-part construction, the anchor can be dimensioned 25 percent smaller than in the conventional design. That saves not only weight but also costs. The anchor blade is produced using a stainless duplex special steel. This contains, among other elements, chromium, nickel and molybdenum, and thereby assures
an optimal corrosion resistance – an important factor in salt, brackish or fresh water. Casting takes place by the Contura process which prevents corrosion-causing carbonisation in the edge zone. The surface is also very smooth, a central point, so that in the final surface treatment no faulty areas are ground. The anchor is supplied with a high-gloss polished or bead-blasted finish. A further benefit of the duplex special steel that is used is its high strength of 750 N/mm2. This has a positive effect on the holding power of the anchor, which is three times the power of comparable models. It could therefore be classified as SHHP (Special High Holding Power) – the highest possible level of holding power. The anchors are available in eight standard sizes between 55 and 200 kilogrammes. Larger anchors are produced customer-specifically – the spectrum ranges up to 20,000 kilogrammes.
NZ Manufacturer April 2014
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Work spares us from three evils: boredom, vice, and need. – Voltaire
Want your great energy efficiency project to get the go-ahead? Learn to speak CFOish.
It’s often the staff at the coalface who are best placed to see the opportunities for system or equipment upgrades that will deliver real benefits for the company. The trick is persuading the CFO. Energy efficiency projects fit into this camp. Those close to the processes can envision the potential cost savings and other benefits such as increased productivity or improved staff safety, that often go hand in hand with an energy management initiative. All you need to do is to convince management – and that can be the hard part. With many competing priorities, energy efficiency may not be top of mind for your CFO. They also may not have the same level of understanding of the issue as the operations team, so need convincing about the business case. Greg Visser, EECA’s General Manager, Business, said that arguing for energy efficiency for its own sake won’t work – the link needs to be crystal clear between energy outcomes and the organisation’s strategic priorities.
“One of the fundamental issues is the different language spoken by finance managers that make it harder for operations staff to ‘sell’ the case for investment internally”, said Greg. “To obtain approval for energy efficiency projects you need to present a solid business case that speaks the CFO’s language. For example, a fantastic energy management opportunity turns up on the CFO’s desk disguised as a feasibility study.” Mr Visser said that to provide a compelling argument to your CFO, it’s important to clearly state the value proposition upfront. “Kick off with a concise summary including what the project entails, the benefits including estimated savings, the costs and the payback period. Make clear connections between the project and existing business priorities. Describe all of the benefits and include as many hard metrics around these benefits as you can”, he said. “It is also important to make sure you involve the right people in the development of the business case, especially those who will be affected by its implementation. Presenting an agreed view, supported by other business units, will strengthen your argument.” Jonathan Pooch, managing director of Christchurch-based Deta Consulting agrees that the way a project is presented is vital in deciding whether it gets the green light from the CFO.
An energy management programme by Deta, which has saved a major New Zealand company $2.1 million over the last year, managed to get off the ground once the potential savings were made clear to the financial team. “Our experience shows that presenting the information in a language and format that the finance team recognises is a proven and successful way of securing funding for energy saving projects. The payback we were able to demonstrate was enough to get the project over the line,” he said. Greg Visser said that energy services companies like Deta can often help by adding a fresh perspective. “When you are really close to a project, sometimes it is hard to articulate the benefits from a wider strategic point of view. Having an external person do the acid test on your business proposition can really help to crystallise thinking.”
How to speak CFOish. 5 Tips for writing a great business case: 1 Lead with a summary of costs, benefits
and estimated payback period 2 Include clear links between your project
and the organisation’s strategic objectives 3 Include risks and mitigations 4 Quantify the benefits 5 Consult the right people
Brought to you by
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EEC3106_NZM_1
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NZ Manufacturer April 2014
PRODUCT NEWS
Ambition is the path to success. Persistence is the vehicle you arrive in. -Bill Bradley
New DIY windscreen stone chip repair If you’ve been driving on state highways or rural roads recently, chances are you have driven over a stretch of recently laid road chip surface........and got a stone chip on your windscreen, which will require fixing promptly to save a full glass replacement. Usually that means calling a professional mobile repair service and if your area is not within their range then it’s a trip to the nearest automotive glass repair business. And worse, there will be a charge if you don’t have full insurance. Now there is an alternative – fix it yourself with a new DIY Windscreen Repair Kit made by the trusted windscreen people at Rain-X. The new kit is based on similar technology used by the professionals and it can be done at home, thereby saving time and money if you only have basic car insurance. The Rain-X Windscreen Repair Kit comes complete in a handy blister pack, with all the ingredients and instructions on how to make a repair. It can be used to effectively and permanently repair most type of chips, from the round ‘bulls-eyes’ and
the ‘stars’, to fine cracks, leaving the surfaces almost blemish-free and preventing the crack from spreading, which could require a full replacement if it interferes with driver vision. The Rain-X kit works just like those used by the professionals, by removing air from the break, filling it with durable resin and it even makes the repaired area stronger than before. For best results, repairs should be made as soon as possible after the damage occurs and before the break is contaminated by dirt or water. The kit works best on round damage not more than 25mm (one inch) in diameter and cracks not longer than 152mm 6 inches). It can be used on all types of laminated windscreens, although it will not repair damage to more than one layer of glass. But it can be used for multiple repairs. The kit consists of a 1gram bottle of advanced resin repair liquid, a repair device for injecting the liquid into the chip/crack, curing strips, a sleeved razor blade to clean off residue and a full instruction sheet. A handy tip for those making a repair to a chip is to remember to have someone apply a little pressure to the inside of the windscreen, to open up the crack or chip more to improve the repair job.
Temperature calibrators highly accurate Fluke Corp. introduces two single function calibrators for simulating process temperature sensors. For technicians who don’t want the complexity of multifunction test tools yet need highly accurate temperature calibration, the Fluke 712B RTD and 714B Thermocouple Temperature Calibrators let instrument, process and plant maintenance technicians quickly and easily test process temperature instrumentation. The 712B measures and simulates 13 different resistance temperature detectors (RTDs) types and resistance and the 714B measures and simulates 17 different thermocouple types as well as millivolts, to verify process sensors by direct comparison of measured versus reported temperatures. The calibrators also measure 4 to 20 mA signals with 0.001 mA resolution while simultaneously sourcing a temperature signal with both readings displayed www.nzmanufacturer.co.nz
on the large, backlit display for easy transmitter calibration. They can scale the measured mA to the programmed 0 and 100 per cent temperature settings to verify the 0 and 100 percent values scaled in a temperature transmitter. They also feature linear ramp and 25 per cent step auto-ramp based on 0 and 100 per cent settings. Settings at power down are saved for easy restart of tests when the calibrator is powered back up. Both calibrators have built-in magnetic hanging tools for easy mounting while taking measurements.
NZ Manufacturer April 2014
The height of your accomplishments will equal the depth of your convictions. -William F. Scolavino
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PRODUCT NEWS
The future of 3D printing services and manufacturing Who would have thought that modern manufacturing could be done without a factory? Since the Industrial Revolution, manufacturing has been synonymous with factories, machine tools, production lines and economies of scale. So it is startling to think about manufacturing without tooling, assembly lines or supply chains. However, that is what is emerging as the future of 3D printing services takes hold. 3D printing is making its mark as it reshapes product development and manufacturing and turns individuals, small businesses and corporate departments into “makers. The report, 3D Printing and the Future of Manufacturing, explores the opportunities of 3D printing services and provides 10 questions companies should be asking as they prepare to join this trend. The idea of a do-it-yourself manufacturer is really coming to the forefront. Similar to the way the Internet levelled the playing the field, solving the challenges of reach and enabling everyone to play, that’s what is happening with manufacturing today. You don’t need all of the capital involved in the creation of things anymore. You now have the
3D printing has been around for decades, better known as additive manufacturing.
opportunity at a small scale, even as a hobbyist, to do it yourself, and to do it fairly eloquently. With 3D printing being applied to materials ranging from chocolate to cells to concrete, and being used by corporations, departments and consumers, organizations need to understand how the future of 3D printing manufacturing technology can be used for a for competitive advantage – before their competitors do.
3D Printing and Manufacturing for All 3D printing has been around for decades, better known as additive manufacturing (building an object layer by layer). What’s new is that 3D printing has reached consumer-friendly price points and footprints, new materials and techniques are making new things possible, and the Internet is tying it all together.
At the same time, 3D printing, long used for rapid prototyping, is being applied in a number of industries today, including aerospace and defence, automotive and healthcare.
Technology has developed to the point where we are rethinking industry. The next industrial revolution is opening up manufacturing to the whole world – where everyone can participate in the process.
As accuracy has improved and the size of printed objects has increased, 3D printing services are being used to create such things as topographical models, lighter airplane parts, aerodynamic car bodies and custom prosthetic devices. In the future, it may be possible for the military to print replacement parts right on the battlefield instead of having to rely on limited spares and supply chains.
This democratisation idea will not be much different than the journey computers had – from a few, big, centralised mainframes to something we now hold in our hands.
However, it’s not just about replacing the technique of how we make and get a product – it’s about creating brand new products, with entirely new properties, that were not possible with the old techniques.
Desktop 3D printing manufacturing technology can be done at home, the office, a hospital or a school, bringing manufacturing to non-manufacturers the way PCs brought computing to non-traditional environments.
Further, any time there are new products and new properties, that changes the way business operates. If you apply every stage in the supply chain to this new world of 3D printing, the processes are going to change across the board
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NZ Manufacturer April 2014
A mistake proves that someone stopped talking long enough to do something.
OPINION
-Phoenix Flame
Way forward for manufacturing never clearer By Bruce Goldsworthy under scrutiny once again. Our terms of trade are at heights not seen for a generation, and now they are coupled with an endless stream of ‘new’ money in the US, Japan and Europe depressing the value of those currencies. The high exchange rate means other exporters must find ways to reduce their input costs, which the high dollar can help with, or raise their own prices at least to match. And if manufacturing exporters find themselves in no position to adopt either course, then today’s level of business confidence may quickly falter. Already we are hearing the high Australian dollar in combination with low Trans Tasman demand is causing many to pause.
When hedging against
the Australian dollar runs down, their receipts must surely be curtailed. Meanwhile business totally supports the tighter management of inflation in the non-traded sector; by monopolies, and central and local government, to
The link between the volume and prices earned by the bulk of our exports and the strength of the New Zealand dollar, other things being more or less equal, is largely an accepted fact. That is, the New Zealand exchange rate is more or less driven by our terms of trade, though the continuous flux of other cross rates may often obscure the longer term trend. This means the success of our economy has hinged on the success or otherwise of our dairy, meat, logs and other commodities, the big ticket items, as they set the level of the NZ dollar. Which is pretty much what you would expect and commonsense. But it leads to an inconvenient conclusion which is that commentators who argue for a change in the Reserve Bank’s terms of reference to “rebalance” the economy in favour of manufacturing exporters in effect are arguing to reduce the success of our primary goods exporters. Why would you do that? Why would you change the rules governing the Reserve Bank so exporters of commodity products earned less? How else can we make sense of a suggestion that would do that? A NZ Treasury paper in 2005 noted in the Contribution of NZ’s Primary Sector to NZ’s economic growth that “..the exchange rate has tended to move in the same direction as overall commodity prices, smoothing the impact on the New Zealand dollar prices that our exporters receive,” a statement accompanied by a graph showing the correlation between commodity prices and the NZ Trade Weighted Index. Lately the extent that commodity exports are driving the NZ exchange rate and potentially harming the returns of other non-commodity exporters has been www.nzmanufacturer.co.nz
help stave off interest rate rises by the Reserve Bank. But politicians aren’t known for their scruples when spending constituents’ money. But there is a larger and more pressing question even
when
inflation
is
constrained
perhaps
temporarily, and that is: How can our manufacturing exporters continue to invest to boost their value and productivity while the exchange rate is forever held hostage by the success of our primary producers? The reasons they need to flourish were highlighted recently in the recent report on New Zealand manufacturing, the NZ Manufacturing Sector: Its Dynamics and Competitiveness (March 2014) prepared by the consultancy Castalia. This report was covered at length in the last edition of NZ Manufacturer.
The report covered 15 high growth manufacturing companies in the context of New Zealand’s wider manufacturing sector and growth. It noted that manufacturing accounts for 14.6 per cent of GDP, is rich in skills, higher paid employment and R&D activity. The companies profiled are all highly successful almost regardless of the exchange rate constraint. Typically they outperform the challenge thrown up by the currency. What’s behind their success? The practices they have adopted demonstrate an intense focus on innovation, and a commitment to re-invent themselves, invest heavily in R&D and in skills and market development whereby they grow their company productivity and value. As it is for these companies so it is for New Zealand. Economic Nobel laureate Professor Robert Solow first wrote about this in 1957 and Professor Paul Romer in 1987. Along with others following on from them, they established that innovation, and technical innovation in particular, is the key to lifting productivity and better standards of living. That’s how Singapore, Korea and other countries have done this. New Zealand is proving a slow learner. Just as our leading manufacturers like F&P Healthcare, Orion and Gallagher demonstrate how to outperform the shackles of the exchange rate and its volatility, New Zealand as a whole can become far less a victim of the vagaries of the exchange rate. To achieve the standards won by these exemplary companies for New Zealand is for us to develop a world best innovation/R&D policy formula.
Bruce Goldsworthy is Manager for Manufacturing and Exporting for the Employers and Manufacturers Association bruce.goldsworthy@ema.co.nz
Why would you change the rules governing the Reserve Bank so exporters of commodity products earned less?
NZ Manufacturer April 2014
One resolution I have made, and try always to keep, is this: To rise above the little things.
REAR VIEW
-John Burroughs
Being Competitive and Trusted Those who follow my comments will no doubt be aware that I am a strong advocate for buying from the local industry; but I also advocate that this has to be on competitive and fair and on equal trade terms. I am regularly reviewing tender battles involving competing heavy engineering industry bids from overseas, especially from China. And thanks to the support received from industry members on both the supply and purchasing side I believe I obtain a balanced view of what is happening. Therefore I am absolutely delighted to be able to report on the award by HEB Construction of the Karapiro Gully steel bridge girders fabrication to Napier based steel bridge specialist Eastbridge against strong Chinese competition. Reasons for the decision in New Zealand’s favour included reduced risk and trusted business relationship. As an industry sector, we have to consistently work on improving the performance of our industry in this regard. Much of our local manufacturing effort relies on imported products and it is our responsibility to ensure through our own quality assurance process that those products do comply. As manufacturers or consultants signing off compliance, we are able to demonstrate that our manufactured products in their entirety do this as well. Recently, Structural Systems General Manager Dr Stephen Hicks in his “Getting What You Pay For” commentary outlined for steel products how reliable conformity assessment can be undertaken and how the Australasian Certification Authority for Reinforcing and Structural Steels (ACRS) can facilitate this process. Geoff Hallam, Technical Development and Regulatory Affairs Manager of International Accreditation New Zealand (IANZ) in “Pitfalls of Overseas’ Materials” describes what you as a specifier can do to ensure compliance. The writer has been motivated to make this contribution based on IANZ experience with escalating non-compliance of imported materials where actual compliance has been claimed via the associated official documentation.
We will keep you posted on our common journey to have a sustainable and competitive New Zealand metals engineering industry.
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-Dr.Wolfgang Scholz, HERA Director
And if proofing product compliance of standardised import items isn’t hard enough, we understand an additional complication is being put in front of New Zealand consultants by project delivering companies. This is to consider if steels specified for seismic applications and complying with the well-researched New Zealand steel construction design framework could be replaced with Chinese steel manufactured to Japanese steel standards, with the view that the steel frame construction is also performed in China. Having been involved directly in the research underpinning the complex New Zealand seismic design system and understanding the relationship between the steel’s mechanical and dimensional properties and the associated welding consumables properties and procedural requirements, I am well aware of the very difficult task those assessing the viability of this approach are letting themselves in for. HERA will work hard to ensure that the complex issues are well understood, that our industry gets a fair go and the New Zealand public ends up in safe buildings. Our joint HERA/SCNZ/industry effort to achieve certification to international welded fabrication quality assurance scheme IIW MCS ISO 3834 is making great progress. And demonstrating towards an innovative steel construction industry, HERA is exploring with industry members if we can put a steel innovation research partnership together for which we can achieve government co-funding based on the inclusion of a strong export focus. We will keep you posted on our common journey to have a sustainable and competitive New Zealand metals engineering industry. -abridged
NZ MANUFACTURER • MAY 2014 Issue • Features
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